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Onion Prices Rise On Indian Ban |
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Prices of onions jumped yesterday, buoyed by a ban by India on the export of the item, traders said.
The price of onions rose to Tk 36-45 a kilogram yesterday from Tk 32-42 on Thursday in markets in Dhaka, according to Trading Corporation of Bangladesh.
The wholesale prices of onions also rose.
“There is a lack in the supply of onions in the market. Those who are still hoarding stocks are reluctant to sell as well,” said Idris Ahmed, owner of a wholesale store, Dhaka Baniyalaya at Shyambazar.
He said onions were selling at Tk 35-36 a kilogram at the wholesale market of Shyambazar yesterday. Prices went up since Friday afternoon, after news of the ban by India, said Ahmed.
The prices of locally produced onions also rose, influenced by the move by India, he added.
This is the second time in less than a year that India restricted onion exports to curb the hike in prices, according to Indian news reports.
On September 8, an Indian ministerial panel banned onion exports following a steep rise in prices, reports Reuters, quoting Food Minister KV Thomas. The restriction came in effect on Friday. “We will review the ban every fortnight," said Thomas.
Bangladesh meets much of its local demand for onions by importing it from the neighbouring country.
Since Saturday, 80 onion-laden trucks entered Bangladesh till yesterday afternoon, our Chapainawabganj correspondent reports.
No shipment took place at the Bhomra Land Port yesterday. The trucks carrying onions that came to the Ghojadanga Land Port on the Indian side returned without shipment, our Sathkhira correspondent reports.
Babul Hasnat Durul, an onion importer at Sona Masjid, said their suppliers are not shipping onions against the previously placed orders by Bangladeshi importers.
“We are worried. If onions are not exported against the already opened letters of credit (LCs), we will incur losses,” said Durul.
The LCs came to a halt following the ban on exports, said Islam of the C& F Agents Association.
The disruption in supply from India led to the hike in the prices of locally produced onions, said Mohammad Aminul Islam, an onion wholesaler at Karwan Bazar. He bought a 40 kilogram bag of onions from Pabna on Saturday at Tk 1,450, he said. Prices for the same stood at Tk 1,300-1,350 last week, he added.
Source : thedailystar.net
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