The Indian government is looking to boost onion exports by sending delegations to several countries, including Malaysia, Indonesia, the Philippines, Germany, the UK, Qatar, Kuwait, Iraq, Seychelles and Mauritius. These delegations will be coordinated by the Agricultural and Processed Food Products Export Development Authority and will collaborate with Indian missions to interact with trade bodies in these countries to promote onion exports from India.
According to sources, the sharp drop in onion prices due to bumper production has led to distress selling by farmers, particularly in Maharashtra, which is the largest producer of onions in India. To address this issue, the government is actively working to promote onion exports to increase demand and provide relief to farmers.
The Commerce Ministry recently stated that India exported a record $523 million worth of onions (1.7 million tons) in the first three quarters of the current fiscal year (2022-23), which is a 16% increase compared to the same period last year. In the last fiscal year, Bangladesh (37%), Malaysia (14%), Sri Lanka (12%) and Nepal (8%) were the major importers of Indian onions.
The efforts to promote onion exports are part of the government’s larger goal to increase agricultural exports and support the growth of the agricultural sector in India. The government has been actively working to reduce regulatory barriers and improve logistics and infrastructure to facilitate agricultural exports.
In addition to promoting exports, the government is also taking measures to support farmers and stabilize onion prices. The Ministry of Consumer Affairs, Food and Public Distribution has approved the import of 11,000 tons of onions to augment domestic supply and stabilize prices. The government has also established a Price Stabilisation Fund for onions and other essential commodities to help farmers in times of price fluctuations.
The promotion of onion exports is also part of India’s broader goal to increase its presence in global agricultural markets. The government has set a target of doubling agricultural exports to $60 billion by 2022 and is taking several measures to achieve this target. These include increasing the production of high-value crops, improving the quality of agricultural produce, and enhancing export infrastructure.
The Indian government’s decision to send delegations to promote onion exports is part of its broader efforts to increase agricultural exports and support the growth of the agricultural sector. The promotion of onion exports will not only benefit farmers by increasing demand and stabilizing prices, but also help India increase its presence in global agricultural markets. The government’s efforts to reduce regulatory barriers and improve logistics and infrastructure are expected to further boost agricultural exports in the coming years.
