Onion imports have been suspended since May 1 mainly for the protection of local growers, officials said.
According to the Plant Quarantine Wing of the Agricultural Extension Department, the body that approves and regulates the import of agricultural products, all the country's ports had been instructed not to allow any imported onions after April 30.
Anowar Hossain, Director of Plant Quarantine wing said, “Bangladesh imports most onions from India. In India, now the price of onion is the lowest. If imports continue during this time, the country's onion farmers will face losses. That is why measures have been taken to prevent imported onions from entering the country's market.”
“We have information that the price of onion in India is now around 15 rupees, which is a very low price, he said, “If onions are imported at this price, the onions produced in the country will remain unsold.”
In the last few years, considering the good price of onions in the country's markets, farmers are inclined to increase production that has created an opportunity to become self-sufficient in this essential commodity.
In order to maintain this trend, it was decided to stop imports during the onion season. Otherwise, the farmers will lose interest in onion cultivation.
According to the Bangladesh Trade and Tariff Commission, the demand for onions in the country is 2.5 million tons per year, that entirety is not met from domestic production. Most of the deficit is met by imports from neighboring India and Myanmar.
To reduce import dependence in the country and encourage farmers to produce, the Commerce Ministry had proposed last fiscal year to impose tariffs on onion imports. Considering that proposal, a total of 10 percent duty has been imposed in two phases.
India stopped exporting onions in September for the last two years. As a result, the price of onion rose to Tk 250 per kg in 2019. In 2020 imports from alternative countries started, and then the price of onion was around Tk 100.
According to the latest data from the Bangladesh Bureau of Statistics (BBS), last year (2019-20) the country produced 1.95 million tons of onions. This is 150000 tons more than in the previous year. In the previous year (2018-19) the production was 18 lakh two thousand tons. As a result, onion production has increased by 8.32 percent in one year. In the previous year, onion production had increased by 65,154 tonnes or 3.73 percent. The production of onion in the country in 2016-17 was 17 lakh 37 thousand tons.
22- 25 percent of the local production of onions is rotten or wasted during the collecting and storing every year.
According to the Plant Quarantine Department, the country imported about eight lakh tonnes of onions last year. Apart from India, onions are being imported for the first time from several other countries through Chattogram Port.
Plant Quarantine Station in Chattogram source confirmed, clearance of 132753 tonnes imported onion from Pakistan, Turkey, China, Newzealand, Egypt and the United Arab Emirates through Chattogram seaport has been given. But the businessmen also took Import Permission or IP from Chattogram station for import of 20,9054 tonnes of onion.
After the import was stopped, in the last two weeks, onions have gone up by TK 8 per KG in the largest commodities market in Khatungonj. Indian onions are currently being sold at TK 36-38. Besides, local onions are being sold at TK 39-40.
Mohammad Idris, General Secretary of Hamid Market Traders Association, of Hamid Market, a wholesale market in Khatungonj said if the suspension of import is continued the price of onion will go up further.
But Anowar Hossain of the Plant Quarantine Division said, most of the domestic onions are now in the country's market, and even if the price goes up, it will benefit the local producers. If they are interested in cultivating more onions in the future, the country's import dependence on onions will decrease.
