On December 8, 2023, the government imposed a national ban on onion exports. | Photo source: ANI
On April 27, the Center had said that despite the shipment ban, it had allowed the export of 99,500 tonnes of onion, mainly from Maharashtra, to six neighboring countries.
The center has also facilitated the export of 2,000 tonnes of cultivated white onions, particularly to the export markets of the Middle East and some European countries.
On December 8, 2023, the government banned the export of onions.
Read also: Parliamentary proceedings | The government defends the ban on onion exports
In an official statement, the Ministry of Consumer Affairs, Food and Public Distribution said the government “has authorized the export of 99,150 tonnes of onions to six neighboring countries: Bangladesh, United Arab Emirates, Bhutan, Bahrain, Mauritius and Sri Lanka.”
The export ban has been imposed to ensure adequate domestic availability in the context of estimated lower Kharif and Rabi harvests in 2023-24 compared to the previous year.
The ban was introduced due to the augment in demand on the international market, she added.
National Cooperative Exports Confined (NCEL), the agency responsible for onion exports to these countries, procured domestic onions to be exported through the electronic platform at L1 prices.
NCEL supplied the products to the agency or agencies designated by the government of the target country at a negotiated rate based on 100% advance payment.
The rate offered to buyers by NCEL takes into account prices prevailing in the target market as well as in international and domestic markets.
The quota for export to six countries is provided according to the demand placed by the destination country.
“As the largest onion producer in the country, Maharashtra is a major supplier of onions procured by NCEL for export,” the statement said.
The government also allowed the export of 2,000 tons of cultivated white onions, particularly to the export markets of the Middle East and some European countries.
“The production costs of white onions, aimed exclusively at export, are higher than other onions due to the higher cost of seeds, the adoption of Good Agricultural Practices (GAP) and compliance with stringent Maximum Residue Limits (MRL) requirements,” the statement said.
The 2024 buffer purchase target for Rabi crop onions under the Price Stabilization Fund (PSF) of the Department of Consumer Affairs has been set at 5 lakh tonnes this year.
Central agencies like NCCF and NAFED are linking local agencies like FPO/FPC/PAC to support procurement, storage and registration of farmers to start purchasing any storable onion.
A high-level team from the Department of Consumer Affairs, NCCF and NAFED visited Nashik and Ahmednagar districts of Maharashtra from April 11 to 13, 2024 to create awareness among farmers, FPO/FPC and PAC on the procurement of 5 lakh tonnes of onion for stock. .
To reduce onion losses during storage, the department has decided to augment the amount of stock to be irradiated and kept in chilly storage from 1,200 tonnes last year to over 5,000 tonnes this year, with technical support from Mumbai-based BARC.
The statement said a pilot project on onion irradiation and chilly storage conducted last year resulted in a reduction in storage losses to less than 10 percent.
In March, the Union Ministry of Agriculture released data on onion production.
According to the data, onion production in 2023-24 (first preliminary estimate) is expected to be around 254.73 lakh tonnes as against around 302.08 lakh tonnes last year.
This is due to a decline in production of 34.31 lakh tonnes in Maharashtra, 9.95 lakh tonnes in Karnataka, 3.54 lakh tonnes in Andhra Pradesh and 3.12 lakh tonnes in Rajasthan, the data showed.
