Bangladesh’s sudden ban on onion imports has put a lot of pressure on exporters in West Bengal and Maharashtra. Nearly 30,000 tonnes of onions stuck at the border have started rotting, forcing traders to sell them for just Rs 2 per kg – the onions that used to cost around Rs 22 to buy from Nashik and bring to the border.
A 50-kg sack is being sold at just Rs 100 at the Mahadipur-Sonam Masjid border, while the retail price in the local market is still Rs 20-22. Although there is a rush of buyers at the low price, it is a huge loss for exporters. Traders complain that the situation has gone out of control as Bangladesh stopped imports without any prior notice.
Exporters claim that at least 30,000 tons of onions were stockpiled at various borders on the verbal assurances of Bangladeshi importers—about 20,000 tons in Mahadipur alone. If exports were allowed, they would have made a profit by selling them at Rs 30-32 per kg; but now workers have to separate rotten onions every day to prevent rotting.
One trader said, “I used to buy onions for Rs 22 and now I sell them for Rs 2, 6 or 10—the goal is to save them before they rot.” Another said, “Even two months ago, I used to send 30-35 trucks to Bangladesh every day. Now Bangladesh has made it clear that they will no longer buy onions.”
Traders in Malda and South Dinajpur have been directly affected because they had the highest stock. Petrapole and Ghojadanga did not experience a major crisis as they had comparatively less stock.
Meanwhile, retail prices in India are still at Rs 25-30, which is increasing consumer anger. Traders believe that if stocks stuck at the border enter the market, the Indian price could fall further.