India Allows Limited Onion Exports To Specified Countries

The Indian government has authorized the export of onions to six neighboring countries. Thus aiming to balance domestic needs with international market demands. A press release on this export was issued on April 27, 2024.

It may be recalled that a ban on onion exports was implemented due to concerns about lower crop yields compared to the previous year. However, the government has now permitted limited exports to the following countries:

  1. Bangladesh
  2. UAE
  3. Bhutan
  4. Bahrain
  5. Mauritius
  6. Sri Lanka

The National Cooperative Exports Limited (NCEL) manages the exports. Onions are sourced domestically through an e-platform and supplied to designated agencies in the importing countries.

Advance payment is mandatory. Pricing considers international and domestic market trends. Maharashtra, India’s largest onion producer, is the primary source for exports.

Additionally, a separate quota of 2,000 MT has been allocated for white onion exports. This caters to specific markets with stricter quality requirements.

To ensure domestic availability, the government aims to procure 500,000 tonnes of onions for a buffer stock under the Price Stabilization Fund (PSF). Central agencies will collaborate with local farmer groups to facilitate procurement.

Furthermore, the Department of Consumer Affairs plans to increase irradiated and cold-stored onion stocks from 1,200 MT to over 5,000 MT this year. This initiative, based on successful pilot testing, aims to minimize storage losses.