ONION PRICES MOVE UP IN DELHI, MAHARASHTRA AFTER GOVT LIFTS EXPORT BAN

NEW DELHI: Three days after govt lifted its ban on onion export, wholesale and retail prices of the key kitchen item increased by Rs 4 per kg in Delhi. In Maharashtra, both prices went up marginally by Re 1 per kilo. The impact of the rise in wholesale prices may be felt in retail market in the next few days, traders said.

Meanwhile, traders are also sceptical of exports considering that while the viable price is not more than Rs 50 a kg, the current minimum export price with duty comes to at least Rs 64. Director of agricultural produce market committee (APMC) in Lasalgaon (Nashik), Jaydutt Holkar said govt needs to reduce export duty for shipment from India to be competitive in the international market.

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Govt data show that the wholesale onion prices in Delhi increased to Rs 1,975 per quintal on Monday compared to Rs 1,500 on Friday.

The retail prices in the capital city have also proportionally gone up from Rs 33 a kg to Rs 37 in the past three days.

Mandi prices of onion at Lasalgaon, Asia’s largest market, on Monday appreciated by around Rs 4 per kg from an average price of Rs 15 per kilo last week.

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Dhaka-based news outlets reported on Monday that the retail onion prices in Bangladesh dropped to Rs 45.7 per kg from Rs 53.3 per kilo. Bangladesh is the biggest importer of Indian onion. “It remains to be seen whether we will find enough takers at high floor prices,” said a trader.

Govt on Saturday said that the export ban was lifted considering estimated Rabi crop (2024-25) at 191 lakh tonnes and govt is “reasonably comfortable” with this as monthly domestic consumption is around 17 lakh tonnes. Rabi onion has almost 60% share of the country’s annual production of the key kitchen item.