India permits 10,000 tonnes of onion export to Sri Lanka, UAE

India has permitted the export of 10,000 tonnes of onions to both Sri Lanka and the United Arab Emirates (UAE) through the National Cooperatives Exports Cooperative, as confirmed by a notification from the Directorate General of Foreign Trade (DGFT) issued late on Monday.

This move expands the total approved onion exports from India to 79,160 tonnes, surpassing the ban on shipments imposed in December 2023. The government has recently sanctioned an additional 10,000 tonnes of onion exports to the United Arab Emirates, adding to the previously permitted 24,400 tonnes. Additionally, in March, the government authorized the export of 50,000 tonnes of onions to Bangladesh.

Despite the ban on shipments imposed in December 2023, this decision brings the total approved amount of onions for export from India to 99,160 tonnes. The prohibition on onion exports has been extended by the government until new directives are issued. Initially set to last until March 2024, India’s ban on onion exports will only be lifted with the approval of the central government, based on requests from other countries.

However, the central government has made an exception for the export of ‘Bangalore rose onion’ by waiving the export duty, subject to a condition. Exporters must furnish a certificate from the Horticulture Commissioner, Government of Karnataka, confirming the type and quantity of Bangalore Rose Onion intended for export.

In response to rising onion prices, the central government has been releasing onions from its reserve stock. The government had initially planned to maintain 3 lakh tonnes of onions as buffer stock for the 2023-24 season, compared to 2.51 lakh tonnes in the previous season of 2022-23.