Home
|
Sitemap
|
FAQs
|
Contact Us
Product
Country
Menu
About Agri Exchange
Introduction
Apeda Agri Exchange
The Vision
Benefits / Facilities
To Exporters
To Buyers
Product Profile
Floriculture
Floriculture
Fruits & Vegetables Seeds
Fresh fruits & Vegetables
Fresh Onion
Other Fresh Vegetables
Walnuts
Fresh Mangoes
Fresh Grapes
Other Fresh Fruits
Others (Betel Leaves & Nuts)
Processed Fruits & Vegetables
Cucumber and Gherkins (Prepd. & Presvd.)
Processed Vegetables
Mango Pulp
Processed Fruits,Juices & Nuts
Pulses
Animal Products
Buffalo Meat
Sheep/ Goat Meat
Other Meat
Processed Meat
Animal Casing
Poultry Products
Dairy Products
Natural Honey
Caseins
Albumin (Eggs & Milk)
Other Processed Foods
Groundnuts
Guar Gum
Jaggery & confectionery
Cocoa Products
Cereal Preparation
Milled Products
Alcoholic Beverages
Miscellaneous Preperations
Cereals
Basmati Rice
Non Basmati Rice
Wheat
Maize
Other Cereals
Country Profile
United Arab Emirates
Saudi Arabia
Malaysia
Bangladesh
United States
Vietnam
Kuwait
Iran
United Kingdom
Indonesia
...View more country profiles
FTA's
Analytical Report on FTAs
Tariff Concession under FTAs
Statistics
International Trade
India's Export
India's Import
Production
International Production
India Production
Market Intelligence
e-Bulletin
Global Analytical Report
India's Export Analytical Report
Comparative Report On APEDA Products
Comparative Report On Principal Commodities
Import Tariffs
Import Regulations
SPS Notifications
DGFT : Public Notice, Notifications, Circular and Trade Notice
India Food Safety & Standards
Market Reports
Foreign Trade Policy 2023
Chapter 01 - Legal Framework and Trade Facilitation
Chapter 02 - General Provisions Regarding Imports and Exports
Chapter 03 - Developing Districts as Export Hubs
Chapter 04 - Duty Exemption Remission Schemes
Chapter 05 - Export Promotion Capital Goods (EPCG) Scheme
Chapter 06 - Export Oriented Units (EOUs), Electronics Hardware Technology Parks (EHTPs), Software Technology Parks (STPs) and Bio-Technology Parks (BTPs)
Chapter 07 - Deemed Exports
Chapter 08 - Quality Complaints and Trade Disputes
Chapter 09 - Promoting Cross Border Trade in Digital Economy
Chapter 10 - Scomet: Special Chemicals, Organisms, Materials, Equipment and Technologies
Chapter 11 - Definitions
Newsletters
Latest News
Latest Newsletter
Archives
Directory
Exporters
Service Providers
Logistics
Trade Leads
Submit New lead
Buy Leads
Sell Leads
Indian Mission Login
Market News
Demand for onion exports rises as domestic prices fall
Apr 13, 2022
But container shortage, high freight rates act as dampeners
Demand for onion exports has re-emerged with domestic prices falling, but exporters continue to be affected by containers shortage and high freight rates.
Demand for onion exports has re-emerged with domestic prices falling, but exporters continue to be affected by containers shortage and high freight rates.
'Exports are on the rise as domestic prices are ruling lower. But we are unable to fulfill our orders as containers are not available and freight charges are high,' said Ajit Shah, President, Horticulture Produce Exporters Association (HPEA).
Lower than a year ago
'The feasibility of exporting onion is low due to high freight rates, though prices of all onions - from Bellary Rose to sambhar- dropping sharply,' said M Madan Prakash, President, Agri Commodities Exporters Association (ACEA).
Bellary Rose onions are delivered from Karnataka to Tamil Nadu at around ?1,300 a quintal. Big or the normal grade onions cost is around ?1,000 a quintal, he said.
The onion modal price or rate at which most trades took place at the Lasalgaon agricultural produce marketing committee (APMC) yard, Asia’s largest, was ?600 a quintal on Tuesday for the late Kharif arrival. Prices are about ?100 a quintal lower than the year-ago period.
Record output
'Onion prices are ruling lower due to excess production,' said Prakash.
According to the Ministry of Agriculture and Farmers Welfare’s first advance estimate of horticulture crops, onion production this season (July 2021-June 2022) is estimated at a record 31.13 million tonnes compared with 26.64 mt last season. The higher production is in view of the area under onion increasing this season to 19.14 lakh hectares from 16.24 lakh hectares a year ago.
The decline in prices has resulted in Mahrashtra growers demanding that onion be procured by the National Agricultural Cooperative Federation for buffer stocks at a higher price. The Centre has a scheme in place to procure up to two lakh tonnes of onion.
Buffer stocks are built to help farmers to get better prices when they plunge. On the other hand, they can be used to curb prices rise due to shortage or fears of a lower crop.
‘Lack of parity’
HREA’s Shah said Indian onion was quoted lower than $200 (?15,225) a tonne. He said exporters were carrying out 'one type of trade battle' as freight rates are less for some countries.
'We have not done any shipment recently as there is a lack of parity,' said ACEA’s Prakash.
A major reason is that charges for reefer containers have increased by over six times to $10,000 currently from $1,500 for a 40-foot container.
'Also, it is taking more time to get the cargoes to destinations in South-East Asia,' he said. For example, it took 15-20 days to reach Klang port in east Malaysia earlier. Now, it takes about 40 days.
Weak Pakistan currency
Prakash said Pakistan continued to quote competitively as its currency has dropped sharply against the dollar. The Pakistani rupee is quoted at 183.50 to the dollar, while the Indian rupee is ruling at 76.10 to the greenback.
'Pakistan does not have any cargo to export now. Its new crop will arrive only after two months,' Shah said.
Despite odds, exports have picked up and are showing improvement, he said.
The rise in exports is significant after India lost ground in 2019 and 2020 following crop failure due to unseasonal rains. Then, India imposed a minimum export price and then clamped a ban to rein in the prices.
This caused problems in overseas markets for exporters with Pakistani and Iranian onions filling the void. The Indian government also took steps to increase the area under onion, particularly in non-traditional States. One of the objectives was to ensure stable prices throughout the year.
The initiative has yielded good results with production rising by 5 million tonnes and exports increasing.
www.thehindubusinessline.com
Archive