Kolkata: The Centre has permitted the export of onion to Bangladesh, Bahrain, Bhutan, Nepal, Sri Lanka, and some other countries on a government-to-government basis arrangement, Vygr News learnt. Centre had banned the export of onion to regulate the domestic market as well as availability under control.
India's decision to curb the exports impacted the neighborhood immensely. About a few months back a ministerial delegation from Awami League, the ruling party of Bangladesh requested the center to consider exporting the cooking stable, a person who attended the meeting told Vygr News.
India is the Largest Producer of Onion
Recently, a team from the Department of Agriculture and Farmers Welfare visited Nashik to talk with onion growers and evaluate the state of the crop. They collected information on the cultivation of rabi, estimated production, and arrivals at the main Agriculture Produce Market Committees (APMC) together with estimations of delayed kharif production. This visit comes after a period of turmoil among Nashik's onion farmers, which is home to the biggest onion market in Asia.
India, the world's second-largest onion producer recorded an estimated production of 318 Lakh metric tonnes (LMT) in 2022-23, surpassing the previous year's 317 LMT. Concurrently, onion exports reached 2,525,258 Million Tonnes during the same period, the Chamber informed Vygr News.
Chamber of Commerce on Supply of Onions
"As supply of essentials is necessary and disruptions may cause significant price escalations. So, at this juncture calibrated steps to restrict the exports becomes inevitable as food inflation is a major challenge in India. So adequate supply of essentials must be strategized," Sanjeev Agrawal, President, PHD Chamber of Commerce and Industry told Vygr's correspondent.
"This robust performance underscores India's economic prowess in the global onion market and the country's ability to leverage its agricultural resources for international trade, contributing substantially to its balance of trade and foreign exchange reserves. Despite inherent risks such as climate variability and market fluctuations, India's onion sector showcases resilience, bolstering its standing in the global landscape," Agarwal opined.
"Bangladesh is the largest importer of Indian onions. The government's current directives indicate that the prohibition is anticipated to remain in effect until March 2024. The government aims to ensure that Indian consumers can buy onions at an affordable price. Therefore, we think if average retail prices reach about Rs. 40 per kilogram, the government might think about lifting the ban or imposing quota limitations," he told earlier to Vygr News Correspondent, when the Centre halted the supply of the cooking staple in abroad till March 2024.
Ⓒ Copyright 2024. All Rights Reserved Powered by Vygr Media.
