Bangladesh produced 4.4 million tons of onions in the 2024–25 season, exceeding the estimated national requirement of 3.5 million tons, yet the market is now facing short supply and higher prices. Growers report that about 30 percent of stored onions perished after harvest, with remaining stocks losing weight due to moisture loss. Although production exceeded demand by 900,000 tons, depleted inventories are tightening availability.
Producers in Pabna said the current price increase is helping offset losses from the earlier period when farmgate rates were below production cost. Traders added that price fluctuations demonstrate an open market without syndicate control. One grower from Santhia upazila said that from 150 maunds produced, only 20 maunds remain, and half his stored volume spoiled. He sold onions at Tk 4,000 per maund (about US$36.35) in early November, compared with Tk 1,200 per maund (about US$10.90) immediately after harvest.
Suppliers moving onions to urban markets also reported slower procurement since late October. One collector said he previously bought 4 to 5 tons on each market day, but now struggles to secure two tons as most farmers are out of stock. In Sujanagar, another major production area, one farmer said he produced 1,500 maunds on 28 bighas, sold 1,100 maunds earlier at Tk 1,600 to Tk 2,000 per maund (about US$14.50 to US$18.15), and lost 320 maunds to spoilage, leaving only 80 maunds to sell. Traders in the region noted that remaining stockholders are releasing product slowly as prices move upward.
A wholesale buyer in Kashinathpur said supply is low after a sudden shift from Tk 2,200 to Tk 2,400 per maund (about US$19.95 to US$21.75) to around Tk 4,000 per maund (about US$36.35), reducing available volume. The Agriculture Extension Department said that national supply remains adequate for the short term and locally produced onions should meet demand until December, when early varieties begin marketing. Imports from India may reduce prices temporarily, but could discourage future planting.
Agricultural economists noted that the structure of Bangladesh's onion sector, involving thousands of growers, makes coordinated price manipulation unlikely. Analysts explained that farmers holding onions in expectation of higher prices is normal market behavior during storage periods.
Source: DhakaTribune
