Amid continuing price hike of onion and against the import target to meet the local demand, consumers still find arrival of inadequate amount of onions in the markets causing much sufferings to them, particularly the low-income people.
The onion crisis, triggered by Indian imposition of a ban on onion export to Bangladesh, has been well taken by the government allowing businessmen to import onion from other alternative countries withdrawing import duty on this essential.
More than 600 traders, who have taken certificates from the Department of Agriculture Extension (DAE) to import around seven lakh tonnes of onion, till now have brought 6,000 tonnes of onion.
As a result, the price of the daily essential is remaining at around Tk 100 per kilogram. In the wholesale market, based on quality, onion is selling at Tk 60 to Tk 70 per kg.
According to DAE, traders who have taken certificates to fetch onions from 12 countries are located in the Asian region. From there, within 15 to 20 days onion can be imported. But it requires one and a half months to import onion from Europe.
Onions have arrived in the last month much less than the expected quantity. For this reason, the onion market has witnessed higher prices of the essential.
Leading analysts of the country said, as the Finance Ministry has withdrawn the total five percent duty on onion imports, huge businessmen showed their interest to import onions. But their quoted import is not reflected in the market.
Chittagong Plant Quarantine Wing's Deputy Director Asaduzzaman Bulbul said, "Many of the businessmen who have taken permission to import onions have not opened LC on time. As a result, the amount of imports is much less than the expectation. But the import volume is expected to increase from next month".
President of the Chittagong Chamber of Commerce and Industry Mahbubul Alam has also expressed identical opinion. He said, “Many people have taken permits without knowing the demand and stock of onions. Many of those who have taken the permits have taken much time to open the LC. As a result, onion is not coming in the market at the scheduled time."
DAE said, it has never allowed the import of such a large quantity of onions in such a short time. Traders last year looked at Myanmar, Pakistan, China, Turkey, and Egypt as India's alternative country to import onions. However, this year from the very beginning, traders have opened loan certificates for onion imports from countries like the Netherlands and New Zealand.
According to the DAE, the country's annual demand for onions is about 30 lakh tonnes against the local production of about 19 lakh tonnes. So about 11 lakh tonnes have to be imported.