The government has permitted the shipment of 99,150 tons of onions to six neighboring countries: Bangladesh, the UAE, Bhutan, Bahrain, Mauritius, and Sri Lanka.
Despite the shipping prohibition, the Indian government has permitted onions, primarily from Maharashtra, to be exported to six countries, including the UAE and Bhutan.
The government has “allowed export of 99,150 metric tons of onion to six neighbouring countries: Bangladesh, UAE, Bhutan, Bahrain, Mauritius, and Sri Lanka,” according to a statement from the Ministry of Consumer Affairs, Food, and Public Distribution.
Furthermore, New Delhi has permitted exports of 2,000 tons of white onion grown, mostly for export markets in the Middle East and several European nations.
On December 8, 2023, the Indian government prohibited the export of onions.
The prohibition on onion exports was implemented to maintain enough local supply in light of weaker Kharif and Rabi yields expected in 2023–24 compared to prior years.
The National Cooperative Exports Limited (NCEL), the body in charge of onion exports to these nations, procured domestic onions for export via e-platform at L1 pricing.
NCEL has given to the agency or agencies specified by the destination country’s government at the stipulated price with a 100% advance payment.
“As the largest producer of onions in the country, Maharashtra is the major supplier of onions sourced by NCEL for export,” the company said in a statement.
“Being purely export-oriented, the production cost of the white onion is higher than other onions due to higher seed costs, the adoption of good agricultural practices (GAP), and compliance with strict maximum residue limits (MRL) requirements,” the company said in a statement.
This year, the Department of Consumer Affairs’ Price Stabilization Fund (PSF) has set a procurement target of 5 lakh tons for onion buffer from the Rabi crop in 2024.
Central agencies, such as NCCF and NAFED, are collaborating with local agencies, such as FPOs, FPCs, and PACs, to facilitate procurement, storage, and farmer registration before beginning the acquisition of any store-worthy onion.
