Low Graphics Site


 






|
|
|
|
November 30, 2006
|
Thursday
|
Ziqa'ad 8, 1427
|
Onion price rises due to Sindh crop failure: Import from India bridges the gap
By Aamir Shafaat Khan
KARACHI, Nov 29: Pakistanis consumed over 250,000 tons of imported onion from September 15 to November 29 in which Indian onion holds 90 per cent share due to fewer arrivals from Afghanistan and Iran.
Last year, the country had imported 70,000-80,000 tons of the commodity in order to meet the demand besides, ensuring price stabilisation. Despite huge imports there has been no let-up in prices, which ranged between Rs30-35 per kg for the last one and a half months as dealers claim that the price cannot be stabilised because of huge dependence on imports due to over 90 per cent damage to the Sindh crop. The dealers had earlier estimated over 60 per cent damage to the crop in Sindh.
Retailers do not have any limit when it comes to fleecing the consumers. They are demanding Rs30-35 per kg depending on the area. It may be recalled here that last week retailers were seen charging Rs40-45 per kg of the Indian onion because of delay in arrivals for just two days.
A vegetable dealer in Subzi Mandi Haji Shahjehan said that the Indian onion was being imported at $250-300 per ton depending on the quality and it was available in the Subzi Mandi at the rate ranging between Rs22-30 per kg. The Iranian onion is priced at Rs22-23 per kg at wholesale.
During the peak season of locally produced onion over 500 trucks (carrying 12 to 25 tons each) used to arrive from the interior Sindh to meet the city’s demand as well as of the upcountry besides, meeting the exports requirements but currently there had been hardly arrival of 50 trucks daily.
The Sindh crop usually finds way into the market from September/October till February.
He said there will be more imports of onion in December in view of the advance export shipment booking for more than 350 containers and there are chances for continuing import of onion from India till January in order to meet the rising demand.
“If imports would have not been undertaken then the prices would have gone beyond the reach of the common man who was already groaning under severe pressure of rising prices of other essential items. Prices are still high because imports are not matching up with the supply that used to arrive from the local crop,” Mr Shahjehan added.
He said that the Balochistan crop had been fully consumed in September and the Punjab and the NWFP crops will start arriving in the second quarter of next year.
He said future imports also depend on the rates of Indian onion as the rates in the neighbouring country have been rising due to shortage.
Another dealer said that he used to export onion in this peak season but now he had been engaged in import business with India. “Prices of onion would have surged between Rs80-100 per kg if imports from India would have not been started,” he said.
Based on the provisional figures of 2.3 million tons of production in July-March 2005-06 – the average per month consumption comes to 0.25 million tons hence the Indian imports prove insufficient to meet the country-wide demand.
|