A Pile of Onion. Photo : Collected
The Indian government has authorised the export of 99,150 tonnes of onions to Bangladesh, UAE, Bhutan, Bahrain, Mauritius, and Sri Lanka.
The decision was announced by the country's Ministry of Consumer Affairs, Food & Public Distribution on Saturday (27 April).
The Indian daily, The Economic Times, said the decision stemmed from lower estimated Kharif and Rabi crops in 2023-24 compared to the previous year, along with heightened international demand.
The onions will be sourced from domestic producers.
Maharashtra, being the largest onion producer in the country, will be a major supplier of onions for export.
Notably, onion prices have risen significantly this year compared to previous years.
According to the Trading Corporation of Bangladesh, consumer prices reached Tk120 per kilogram on 1 March, up from Tk35 on the same date last year.
The data stated that the current price of local onions is 171.43% higher than in the same period last year.
The onion market became volatile after the Indian authorities imposed a ban on onion exports. On 8 December 2023, India extended a ban on exports of onions until 31 March this year.
Prior to that, India imposed a minimum export price of $800 per tonne and 40% export duties for onions -- much higher than the prices at which importers were buying – on 28 October 2023 to curb export and increase domestic availability until December 2024.
On 1 March, India had announced that it would export 50,000 tonnes of onions to Bangladesh.
Messenger/Sumon
