Indian export dip pushes down onion prices

Higher freight charges and newer certification norms have slowed down Indian onion exports. This his caused the average traded price drop in wholesale markets in Maharashtra. With rabi and late kharif onions arriving at the same time, most wholesale markets have reported arrivals of around 2,000-2,500 tons of onions per day.

Exports to the established markets -especially those in the Middle East, Indonesia, Sri Lanka and the United Kingdom- happen round the year, but the rabi crop -sown in December- January and harvested post-March- comprises majority of the export basket due to lower moisture content and longer shelf life of the bulb. This year, exporters fear that chances of the bulb being exported are slim.

A commission agent operating out of Dindori wholesale market in Nashik district, cited increased certification needs for traditional markets like Indonesia and United Kingdom as roadblocks for exports to those countries. An unusual increase in freight charges and unavailability of containers have also stopped the flow of exports from the country.


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