FE Report

India has kept the minimum export price (MEP) of onion unchanged at $ 210 a tonne for June as the prices in their domestic market are up.

The MEP was $ 210 per tonne for May and $ 235 for April, according to the National Agricultural Cooperative Marketing Federation of India Ltd (NAFED).

NAFED decides the MEP of onion every month in consultation with 12 other Indian agencies after taking into account its availability and prices in the domestic market.

Prodesh Podder, an onion importer at Shyambazar, said the price is expected to remain stable in June at Tk 14-15 per kg in the wholesale market.

"But, if there is too much rain in India, it may damage the preserved stock and prices may go up," he feared.

An official with the Trading Corporation of Bangladesh (TCB) said the government wing would import the essential just ahead of the month of Ramadan as it is difficult to preserve onion.

"Next week TCB will invite tenders for sugar, edible oil and pulse and before the holy month of Ramadan tenders for onion and peas will be floated," he said.

Bangladesh produces about 500,000 tonnes of onion against the annual demand for 1.2 million tonnes, he added.

A kilo of local onion was selling at Tk 24-Tk 26 per kg, just down from Tk 28 to 30 per kg a week ago. A kg of imported Indian onion was selling at Tk 15 -Tk 16 per kg, slightly down from Tk 18 to Tk 20 per kg a week before.