Prices of onion, one of the main cooking ingredients, dropped further in Dhaka markets in the last couple of days following lifting of ban on export of the spice by India recently, reports BSS.
The onion market was overheated for the last few months and it is now witnessing downtrend as the new harvest has already hit the market alongside the expectation of onion import from India this month. One kilogram (kg) onion was selling at Tk 60-70 by reducing the price by Tk 20-30 from Tk 80-110 a week ago, in the city market, said retailer Manir in Karwan Bazar, which is the city's main hub in daily essentials.
At the same time, the wholesale price of the newly-arrived local onions are being sold in the range of Tk 40-41 per kg from the earlier price of Tk 55-70 while the Myanmar variety is now being sold at Tk 50-55 a kg against Tk 65-70 a week ago, said Mosharraf Hossain, a wholesaler in Shyambazar, the main spice market of the city.
"There is no chance to increase the onion price in the city market and the price would become stable during the Holy month of Ramadan," said Haji Mazed, President of Bangladesh Onion Importers Association.
Contacted, Shyambazar-based importer Narayan Chandra Saha said onion import from India will start this month.
He expressed the hope that the prices of the spice will decline significantly in Bangladesh if India doesn't set minimum export price (MEP).
Asked about the onion price trend during the Ramadan, Saha said local onion production is also showing an upward trend. "So, there is nothing to be worried about onion prices even in the upcoming month of Ramadan."
Wholesale prices of local murikata (early) variety and haali (seasonal) variety declined to Tk 50-55 in Shyambazar on Sunday evening from Tk 70-75 a kg on Thursday.
India decided to lift the ban on onion exports on February 26 amid a steep decline in its wholesale prices in Maharashtra, Karnataka and other states of the country.
The neighbouring country imposed the export ban in the last week of September, 2019. After imposition of the ban, onion markets became volatile in Bangladesh.
Its prices gradually rose and hit an all-time high of Tk 270 a kg in November. The prices declined to some extent in December but never came below Tk 130-140 a kg.
The country has a demand for 2.4 to 2.5 million (24-25 lakh) tonnes of onion. It also imports another 1.0 to 1.1 million (10-11 lakh) tonnes of onion mainly from India.
