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India stops onion exports to Bangladesh indefinitely Onion Export
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India stops onion exports to Bangladesh indefinitely

Bangladesh Live News | @banglalivenews | 24 Mar 2024, 06:38 am

Own correspondent, Dhaka, 24 March 2024: India has imposed an indefinite ban on onion exports. This information was given in a statement issued by the central government on Saturday. The central government of India imposed a temporary ban on onion exports in December last year to stabilize the country's domestic market. The ban was valid till March 31. Exports will remain suspended until further orders, the statement said on Saturday.

Political analysts believe that the central government of the country has taken this step in view of the upcoming Lok Sabha elections.

An official of a Mumbai-based onion exporter said on condition of anonymity, "This order is mind-boggling and completely unnecessary. Already, onions are being sold at water prices within the country, on top of which the new crop will come in a few days. What will happen then?"

Maharashtra, the western state of India, is called the Onion Capital. Major part of the country's total onion demand comes from this state. The official said that before the ban on exports in December, onions were sold at Rs 4,500 per 100 kg in the wholesale markets of Maharashtra. After the ban, onion prices started to fall and currently the wholesale price of onion in the markets has come down to Rs 1,200 per 100 kg. The official said that due to the indefinite ban on exports, prices will fall further in the coming days.

Incidentally, India is one of the largest onion exporters in the world. Bangladesh, Malaysia, Nepal and United Arab Emirates are the biggest buyers of Indian onion. However, Indian onions are also exported to other countries in the Middle East and Southeast Asia. Since India imposed a ban on onion exports in December, the price of onion in the country's domestic market has fallen, but the price in the world market is increasing. Onion is currently being sold at the retail level of Tk 65 to Tk 70 per kg in the Bangladeshi market. A few days ago this rate touched 120 rupees.

Ajit Shah, president of Horticulture Export Promotion Council (Hepa), India's government agency for agricultural exports, said in this context, "The increase in onion prices in the international market is not unusual. Every year there is a shortage of onions in the (international) market during the month of March-April. So far, Indian onions have managed this shortage. Dito. Due to the government's decision, Indian onions did not reach the market in three months of this year, that's why the shortage. However, the shipment of onions from Egypt-Turkey will start in May. At that time, the prices will also come down to normal levels."