India to permit limited onion export to Bangladesh

The Report Desk

Published: February 19, 2024, 05:11 PM

India to permit limited onion export to Bangladesh

Collected File Photo

India has decided to allow onion shipments to Bangladesh and five other countries through government-to-government route, on the recommendation of its external affairs ministry, the Economic Times reported today.

According a source familiar with the situation, a limited amount of onion exports have been permitted for bilateral purposes, despite the fact that no decision has been made to ease the complete ban on onion exports, the daily said. 

There was no way to find out the specifics of the quantum that could be exported, it added.

The five other countries to which export has been permitted are Nepal, Bhutan, Bahrain and Mauritius.

In an official letter, the Bangladeshi government proposed that India permit specific amounts of sugar and onions in order to lower their prices on the domestic market during the holy month of Ramadan.

India, which exports more onions than any other country in the world, banned the import of the essential kitchen item in December 2023 and then reimposed the ban in March of this year to curb price increases and guarantee sufficient supply in domestic markets before the next national elections.

India initially put a 40 percent charge on onions in an attempt to deter exports, but when that measure failed to produce the desired effect, it tightened the ban. 

Earlier this month, a group of Indian government representatives traveled to the main onion-growing areas in the western state of Maharashtra, before recommending that the export restriction be maintained.

 

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