The New Delhi state had contracted imports of 2,000 tonnes of onions last month, but 1,600 are still in the cargo area, untouched. The imported onions from Egypt and China, according to consumers, had a lack of pungency, therefore not many consumers wanted to buy them.
Metals and Minerals Trading Corporation of India (MMTC) had imported onions at a price of Rs 45 per kg (landed cost). The MMTC is now offering the vegetable to bulk domestic buyers at Rs 15 a kg. "Not only that Egyptian and Chinese onions are bigger in size, they are also less pungent compared to Indian varieties." said a government official. Due to less pungency there are not many takers for these imported varieties.
India imports many farm items including pulses and crude edible oils to meet the domestic shortfall in production. It also resorts to imports of items like wheat and onions whenever expediency demands it. But given the delay in decision-making and lack of sustained planning, the intended market corrections often get thwarted.
In August the government had asked MMTC to import 10,000 tonnes of onions due to the rise in onion prices at the time.
Of the annual onion production, 19 million tonnes in 2014-15, around 13 million tonnes were produced during rabi season. Out of total rabi output, which usually starts arriving in the market by March and April, 7-8 million tonnes are stored for distribution till October.
"We are formalising a strategy to augment onion production in collaboration with the state governments in eastern and north eastern regions so that dependence on few states like Maharashtra, Andhra Pradesh and Karnataka for augmenting supplies will end." said an agriculture ministry official.
