look news india
Impact of Bangladesh violence on farmers: Indian exporters are suffering losses worth crores of rupees due to the ongoing violence in neighbouring Bangladesh. Farmers and commodity traders have not been spared. India, the top onion exporter to Bangladesh, has been unable to export onions for the past few months due to severe restrictions and violence. Farmers and traders of the country are taking a hit.
35 percent of total production is exported to Bangladesh
35 percent of the total onion produced in India is exported to Bangladesh. According to Vikas Singh, vice-president of Horticulture Produce Exports Association, Bangladesh is an ideal export destination for us. Due to road connectivity, we deliver supplies to Bangladesh in one to four days.
There is a possibility of increasing losses in onion trade
Bangladesh is India's largest trading partner. According to the Government of India, India exported 15.37 lakh metric tonnes of onions in 2021-22. Out of which 6.58 lakh metric tonnes were exported to Bangladesh. In 2022-23, India exported 25.25 lakh metric tonnes of onions. Out of which 6.71 lakh metric tonnes were to Bangladesh. In 2023-24, 7.24 lakh metric tonnes of onions were exported to Bangladesh. Onion traders are likely to suffer huge losses this year due to reduced exports due to violence.
Cloud of losses looms over onion producers!
Farmers and traders are facing difficulties in exporting onions more than sowing onions since August, 2023. Last year, amid a rise in onion prices, the central government imposed a 40 per cent export duty on onions to curb domestic supply and prices. Later, a complete ban was imposed on onion exports in December, 2023. However, the export ban on onions was lifted in May, 2024. The government imposed a 40 per cent export duty and a minimum support price of $550 per tonne.
Onion exports decreased by 50 percent
Onion exporters have claimed that onion exports have been adversely affected due to these restrictions. The total export of onion has decreased by 50 percent. In 2023 itself, due to the loss in onion export, various stakeholders including laborers suffered a total loss of Rs 10 thousand crore.