Onion prices in Bangladesh have doubled within days, reaching about US$0.91 per kilogram (Tk 100), as domestic stocks dwindle and India's export ban remains in place. The sharp rise has strained household budgets and disrupted trade, with retail prices in Dhaka and other major cities such as Chittagong, Rajshahi, and Khulna showing the steepest increases.
At retail markets in the capital, onions were selling between US$1 and US$1.09 per kilogram, while wholesale prices per palla (5 kilograms) rose from US$2.36 to US$4.72. "Prices have been rising since the last week of October and the trend continues," said trader Aminul from Uttar Badda market. Wholesalers cited higher procurement costs and limited supply as reasons for the increase.
Domestic supply has been tightening since October, with officials confirming that farmers' stocks have been exhausted. "Between late October and early December, onion prices typically rise. Farmers have run out of stock, the supply now lies with wholesalers," said Zahidul Islam, senior agricultural marketing officer at the Department of Agricultural Marketing. Import restrictions and higher prices in India have also contributed to pressure at the Hili land port, further affecting availability.
Early-planted murikata onions are expected to reach the market by mid-December. "The harvest may be delayed by only four to five days compared to last year," said Obaidur Rahman Mondol, director of the Field Wing at the Department of Agricultural Extension. However, growers in Pabna reported late planting and reduced acreage due to rainfall and past price volatility.
Meanwhile, Indian exporters from Lasalgaon, Asia's largest onion market, have called on the Indian government to negotiate with Bangladesh to lift the import ban. "Bangladesh is India's largest onion-importing country. But they have maintained an import ban for almost a year. The central government must intervene immediately and work towards getting the ban lifted. If imports resume, Indian farmers could instantly get a price rise of ₹2–₹5 per kg," said Praveen Kadam, Director (Trade) at the Lasalgaon Agricultural Produce Market Committee.
Wholesale prices in Lasalgaon currently range between ₹13 and ₹17 (US$0.16–US$0.20) per kilogram, about one-sixth of current prices in Bangladesh. Traders say resuming exports could help stabilize markets on both sides.
The Consumers Association of Bangladesh (CAB) claims the price surge is artificially driven. "A vested group is taking advantage of the election and political instability to create an artificial crisis," said CAB Vice President Nazer Hossain. The Trading Corporation of Bangladesh reported that prices have increased by more than 50% in a month, though they still remain below levels seen a year ago.
Source 1: DhakaTribune
Source 2: Free Press Journal
