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India Resumes Onion Exports: Prices and Market Trends Explained
Onion Exports Resume After Two-Month Pause with Malaysia Leading the Way
India has restarted onion exports after a two-month break, with Malaysia becoming the first buyer. Export volumes are expected to increase as kharif onions arrive in greater quantities over the coming weeks, exporters said.Gujarat Onions Fill the Gap for Pickles
Gujarat’s onions, popular for pickle production, are stepping in as an alternative to Bangalore rose onions. “We have received orders to export pickle onions from Gujarat,” said M. Madan Prakash, President of the Agricultural Commodities Exporters Association (ACEA).Early kharif arrivals in Karnataka are over, while late arrivals from Krishnanagar are expected next month, which could ease prices further.
Domestic Prices Remain High, Limiting Competitiveness
Domestic onion prices remain elevated, making exports less competitive.Kharif Onions Expected to Ease Prices
This year’s kharif onion harvest, initially expected during Diwali, is delayed due to October rains. With good quality crops, arrivals are anticipated to pick up by late November, likely reducing prices significantly.Production Drop Drives Market Tightness
Onion production saw a significant decline this year:Planting areas increased despite the production drop:
Export Policies Evolve to Balance Supply
Conclusion: What’s Next for Onion Markets?
With kharif onion arrivals set to increase by late November, domestic and export markets could see significant price corrections. For traders, this is a period to monitor as current high prices may taper off with improved supply. Exporters should stay competitive while capitalizing on markets like Malaysia, where demand for Indian onions remains strong.Click here to reach our trading platfrom CMBroker
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