Onion exports up over 17% in Apr-Dec: NHRDF

NEW DELHI: Onion exports have risen by over 17 per cent to 12.95 lakh tonnes in the April-December period of the current fiscal, but shipments in the coming months are expected to slow down as local prices have begun to rise, government body NHRDF has said.

The country had exported 11 lakh tonne of onions in the same period last year, the Nasik-based National Horticultural Research and Development Foundation (NHRDF) said.

"So far, onion exports have been better than last year. However, the pace has come down as domestic prices have risen making the agricultural commodity less competitive in the international market," NHRDF Director R P Gupta told PTI.

The rise in domestic price by Rs 2-3 per kg to Rs 14-15 per kg in growing regions in anticipation of a drop in the output this year, has reduced export margins, he said, adding that shipments during January and February are seen lower.

Maxmimum of onions are exported to Gulf nations and South- east Asia countries especially Indonesia and Malaysia.

Allaying fears of a fall in onion production in the 2012-13 crop year (July-June), Gupta said: "Total onion production is expected to be same as at last year's level 174 lakh tonnes despite 10 per cent decline in acreage".

Productivity of onion this year is expected to be higher and there will be no supply shortages, he said.

The quantity of onion coming into the mandis so far this year is almost to equal to that of last year's level. The wholesale rates are expected to cool down in the coming days as supply is sufficient to meet demand, the NHRDF said.