India clears 64,400 tonnes of onion exports to UAE, Bangladesh

The government has authorised the export of 64,400 tonnes of onions to the UAE and Bangladesh via the National Cooperative Exports Ltd (NCEL).

According to a PTI report, citing a notification from commerce ministry, of the total, 50,000 tonnes of onions are cleared for export to Bangladesh, while shipments totaling 14,400 tonnes are permitted to the UAE.

“Export of 14,400 tonnes of onions, with a quantity ceiling of 3,600 MT (metric tonnes) quarterly, to UAE through NCEL is notified,” PTI quoted the Directorate General of Foreign Trade (DGFT) as saying in a notification.

The Directorate General of Foreign Trade (DGFT) operates under the jurisdiction of the Ministry of Commerce, focusing on import and export regulations.

Regarding exports to Bangladesh, the National Committee on Export Licensing (NCEL) will collaborate with the Department of Consumer Affairs to establish the export modalities, added the report.

Despite the ban on onion exports, the government permits specific quantities to be shipped to allied nations.

Export permissions are granted by the government to various countries upon their request.

On December 8 last year, the government implemented a ban on onion exports until March 31 to enhance domestic availability and stabilise prices.

Earlier, the Centre in October 2023 had decided to step up the sale of buffer onion stock at a subsidised rate of Rs 25 per kg in retail markets in order to provide relief to consumers.

To control prices, the government has earlier taken several steps. It had imposed a minimum export price (MEP) of USD 800 per tonne on onion exports on October 28 till December 31, 2023.

In August, India had imposed a 40 per cent export duty on onions up to December 31, 2023.
Between April 1, 2023 and August 4, 2023 this fiscal, 9.75 lakh tonnes of onions have been exported from the country. The top three importing countries in value terms are Bangladesh, Malaysia and the UAE.

Onion is a politically-sensitive commodity.

NCEL is a multi-state cooperative society. It is jointly promoted by some of the leading cooperative societies in the country, namely, Gujarat Cooperative Milk Marketing Federation (GCMMF), popularly known as AMUL; Indian Farmers Fertilizer Cooperative Ltd (IFFCO); Krishak Bharati Cooperative Ltd (KRIBHCO); and National Agricultural Cooperative Marketing Federation of India Ltd (NAFED).

With inputs from agencies