Soaring onion prices spark anger in Bangladesh after India ban

DHAKA: India's ban on onion exports caused scarce prices, skyrocketing and anger in nearby Bangladesh.

The price of onions is a sensitive topic in South Asia, and the shortage can lead to widespread dissatisfaction with the political ramifications.

About two-thirds of the demand for onions, an essential ingredient in Bangladeshi cuisine, is grown locally by farmers, and the rest is mostly imported from nearby India, where monsoon rains have reduced crops.

One kilogram of staple vegetables is usually 30 taka (36 US cents), but soared up to 130 taka after India banned exports on the weekend.

Dhaka quickly took steps to import vegetables from Myanmar, Turkey, China and Egypt in public cries.

Bangladesh's State Trade Corporation (TCB) also sells onions at a discounted price of 45 taka per kilogram in the capital Dhaka.

However, in 18 million cities, only about 9,000 people, limited to 2 kilograms per person, can buy vegetables with subsidies daily.

Humayun Kabir, a TCB spokesman, said: "Our goal is to help low-income people. Even middle-income people are buying onions from trucks."

Due to the noticeable price, some restaurants forced to cut the bulbs from the menu.

Dhaka's restaurant waiter told AFP, "We offered our customers free onions with green salad, but we didn't do that anymore."

Consumers, meanwhile, have accused wholesalers of storing vegetables to raise prices.

Monsoon rainfall in major onion growing regions is now blamed for lack of India.

To prevent further price increases, New Delhi forced export bans, and suppliers and distributors failed to restock.

Some reserve onion shares held by the government are also sold as subsidies in some states.