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India lifts onion export restrictions after robust production

India has announced the lifting of restrictions on onion exports starting Friday.

TAS News Service

info@thearabianstories.com

Saturday, May 4, 2024

NEW DELHI: Nidhi Khare, Secretary of the Department of Consumer Affairs, made the announcement during a press conference in Delhi, stating that all constraints on onion exports have been lifted starting from Friday. This move reflects confidence in the Rabi 2024 production and favourable prospects for Kharif, supported by above-average monsoon predictions.

The decision to restrict onion exports was implemented in December 2023 to bolster domestic supply against a projected 20% decline in Kharif and late Kharif production. This strategy, coupled with stable market prices, aided in maintaining price stability until the arrival of the Rabi 2024 crop.

Official estimates indicate a comfortable Rabi 2024 onion production of approximately 191 lakh tons, aligning well with the country’s monthly domestic consumption of around 1.7 million tons. With the export restrictions lifted, India’s onion trade is poised to strengthen, contributing significantly to economic stability.

The removal of export constraints is anticipated to benefit both domestic consumers and international markets, ensuring steady prices and ample onion availability in the upcoming months. The Rabi onion, harvested from April to June, constitutes 65% of India’s onion production, meeting consumer demand until the Kharif crop is harvested later in the year.

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