The Directorate General of Foreign Trade (DGFT) issued a notification on Wednesday stating that India authorized an additional 10,000 tonnes of onion exports to the UAE via the National Cooperative Exports Ltd in India.
This move comes as the Indian government greenlights an additional 10,000 tonnes of onion exports to the United Arab Emirates (UAE), ostensibly to meet the expected surge in demand during upcoming festivals.
The approved exports are slated to be channeled through the National Cooperative Exports Ltd (NCEL). This allocation supplements the 14,400 tonnes of onions that the Indian government authorized for shipment to the UAE last month.
The Indian Directorate General of Foreign Trade communicated the decision through a notification, as disclosed by PTI. It affirmed that the export of an extra 10,000 tonnes of onions to the UAE via NCEL, exceeding the quota specified in the DGFT notification dated March 1, 2024, is authorized. Despite the existing ban on onion exports, the Indian government allows designated amounts to be shipped to friendly nations upon their requests.
An enormous quantity of onions, totaling 975,000 tons, were shipped by India from April 1, 2023, to August 4, 2023. The top three nations for imports in terms of value were Bangladesh, Malaysia, and the UAE.
The restriction on onion exports during the 2023-24 financial year stemmed from tight global supplies exacerbated by a dry spell attributed to the El Niño weather phenomenon. This scarcity prompted the Indian government to curb exports, underscoring the delicate balance between domestic demand and international commitments. The move to reassure the public in Saudi Arabia reflects a similar concern for maintaining stability in the onion market amid fluctuating global dynamics and regional demands.
