India exports over 45,000 tonnes of onion after lifting ban, says official

India has exported over 45,000 tonnes of onions since lifting the outbound shipment ban earlier this month, as confirmed by a senior government official. These exports have relieved farmers following restrictions imposed to stabilize domestic supplies before general elections. The world's largest vegetable exporter initially prohibited onion exports last December and extended the ban in March due to price hikes caused by sluggish production.

Secretary of the Consumer Affairs Ministry, Ms. Nidhi Khare, informed PTI that since the ban was lifted, most onion exports went to the Middle East and Bangladesh. To maintain affordable onion prices during the election period, the government lifted the ban on May 4. However, it imposed a minimum export price (MEP) of US$ 550 per tonne. She also highlighted expectations of a favourable monsoon forecast this year, ensuring better summer crop sowing, including onions, from June onwards.

Furthermore, state-owned agencies have initiated onion procurement from the recent winter harvest to establish a targeted 500,000-tonne buffer stock for the current year. According to the Agriculture Ministry's initial estimates, the country's onion production is projected to decline by 16% from the previous year to 25.47 million tonnes in the 2023-24 crop year, primarily due to reduced output in key growing regions such as Maharashtra, Karnataka, and Andhra Pradesh.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.