In direct sown crop, it is difficult to achieve uniform plant population per unit area due to small and irregular shape of the seed in onion. Such seeds can be made as larger, round-shaped seed through pelleting. Combination of vermi compost, cow dung and clay powders along with combination of methyl cellulose and polyvinyl alcohol as adhesive materials formed firm, round and smooth pellets. The quality of pelleted seed was on par with non pelleted seed in terms of germination and seeling vigour. Pelleted seeds could be stored for 3-4 months even under ambient conditions without decline in viability and vigour. Cost of pelleting 1kg seed works out to be Rs. 200. Seed rate can be reduced by 1/3rd by use of pelleted seeds.