• Wednesday, Apr 24, 2019
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Local onion market likely to be more pungent from next week due to price surge in India

  • Published at 08:30 pm November 24th, 2017
  • Last updated at 08:32 pm November 24th, 2017
Local onion market likely to be more pungent from next week due to price surge in India
The local grocery market may see a sharp jump again in onion prices as the Indian government has raised the minimum export price (MEP) from $400-$500 to $850 per ton in an effort to curb their rising onion prices and increase domestic supplies. According to Hili port sources, the wholesale price of onion has been increased by Tk12 to Tk13 per kg at the port over the last two days due to the lack of adequate supply. The businessmen in the port are assuming that the onion price may see a further rise in the coming days. Visiting Hili port on Friday, this correspondent found each kg of Indian onion was being sold at Tk60 to Tk65, the same one which had been sold at Tk48 to Tk52 a week ago. The number of trucks importing onions reduced to 10-15 from 30-35 within last one week.
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President of Importers' Group of Hili Land Port, Harun-ur-Rashid told the Dhaka Tribune that the Indian exporters have informed them about the import price hike over phone. “They told us that the increased price will go into effect on Saturday. The latest price for onion export has been fixed by the National Agricultural Cooperative Marketing Federation of India. “We have to add $2 as transportation cost and the final cost of opening an LC [letter of credit] for each ton of onion import will be $852. Thereby, the import price of per kg onion will be Tk71.”
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Indian clearing and forwarding agent Khokan Sarker said: “My country has experienced a low onion production this year due to a couple of environment-related factors. As a result, the onion price is soaring even in the Indian market. In such situation, the government of India has lifted up the export price to discourage export in a bid to manage adequate supply in the local market. “The new rate will be effective until December. The government may reduce the price when the onion production will hit the new provinces.”