Domestic onion prices surge amid fewer imports, pre-Eid demand
Prices of potatoes, eggs, green chillies, and various spices and vegetables have surged in the market
- Eggs are retailing for Tk160-165 per dozen
- Broiler chicken is selling for Tk200-220 and Sonali chicken for Tk330-360
- Green chilli prices remain high, ranging from Tk160-200 per kg
- Potatoes are retailing for Tk55-65
Domestic onion prices have been increasing slowly but steadily due to low imports from India, driven by high costs and a surge in demand ahead of Eid-ul-Adha.
Visits to Shahjadpur, Badda, Rampura, Karwan Bazar, Hatirpool, and Moghbazar kitchen markets in the capital on Friday revealed that the price of imported onions rose by almost TK20 over the week. Consequently, the price of domestic onions increased by TK5-10 per kg.
Domestic onions are retailing for TK80-85 per kg and wholesaling for TK72-74 per kg. Imported onions are retailing for TK90-100 per kg and wholesaling for TK80 per kg. However, Indian onions were scarcely seen in the market.
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Babul Mia, a wholesale onion trader at the Karwan Bazar market, told TBS, "The presence of Indian onion in the market is surprisingly low. Only two trucks carrying imported onions arrive daily. However, there is an ample supply of domestic onions but the price is rising due to low imports and demand surge ahead of Eid."
Traders said despite the high import permissions (IP), importers are bringing in fewer onions due to India's high minimum export prices and a 40% export tariff.
Importers said India's minimum onion export price is $550 per tonne. The import costs stand at Tk60-65 per kg factoring in India's high export tariff, Bangladesh's import tariffs, and other costs such as transportation and labour. That is why traders are less interested in imports.
According to the Ministry of Agriculture, after India lifted its onion export ban in early May, traders were granted permission to import 2.86 lakh tonnes of onion in May, only 5,962 tonnes have been imported thus far.
Last December, India imposed an export ban on onions to bolster supply in the domestic market and regulate prices. However, this ban was lifted on 4 May.
Harun Ur Rashid, president of the Hilli Land Port Importer-Exporter Association, told TBS that traders have to pay export tariffs in India and import tariffs in Bangladesh. So, import expenses remain high despite lower onion prices in the Indian market.
Since 5 June last year, the import of 26,02,874 tonnes of onions has been permitted. To date, 7,24,263 tonnes of onions have been imported.
Meanwhile, the peak onion season in Bangladesh concluded two to three months ago. Despite adequate domestic onion supply in the market, prices continue to rise.
According to the Ministry of Agriculture, 36,48,078 tonnes of onion have been produced in 2,48,806 hectares of land this fiscal year.
Other commodities see price increases as well
Meanwhile, prices of potatoes, eggs, green chillies, and various spices and vegetables have surged in the market.
In Karwan Bazar, potatoes are retailing for Tk55-65 and wholesaling for Tk50-55 per kg. Brown eggs are being sold at Tk160-165 per dozen at retail, while white eggs are priced at Tk140-150 per dozen.
The price of chicken has experienced a decline, ranging from Tk10-20 per kg. Broiler chicken is being sold for Tk200-220, while Sonali chicken fetches Tk330-360.
The price of green chilli remains unchanged, with prices ranging from Tk160-200 per kg.
The prices of vegetables have increased by Tk10-20 per kg amid low supply due to the cyclone.
Eggplant and papaya are priced between Tk60-80, while yardlong beans and spiny gourds are sold for Tk60-70 per kg. Point gourds, Snake Gourds, Ridge Gourds, and Okra are available for Tk60 per kg. Tomatoes are being retailed for Tk80-100 per kg.
The prices of various spices have been steadily rising over the past month, leading up to Eid-ul-Azha.
Over the last week, garlic prices have surged to Tk20-30 per kg. Domestic garlic is priced between Tk200-230, while Chinese garlic ranges from Tk220-250.
Ginger is available for Tk220-250. Additionally, cumin seeds are being sold for Tk750-850, cloves for Tk1500-1800, and cardamom for Tk3200-4000 per kg.
