KARACHI: The arrival of the Iranian onion has brought no relief rather it adds salt to the wounds of consumers as it is selling in the range of Rs200-240 per kg despite its poor taste and quality.

Dealers said consumers usually avoid Iranian onion as it cannot compete with the quality of locally produced onion in making various dishes.

Surprisingly, onion exporters are fetching foreign exchange through massive exports to the Far East, the United Arab Emirates (UAE) and Sri Lanka while the foreign exchange is being spent to import costly Iranian onion to bridge the demand and supply gap.

Pakistani exporters have been fully cashing in on huge onion demand in the world market after a Dec 8, 2023 ban imposed by India on its exports aimed at stabilising prices. The ban would remain effective till March 2024.

The caretaker government in the second week of January raised the minimum export price (MEP) on onion exports to $1,200 per tonne from $750 to bring down prices in the local market but the decision had proved counterproductive for the end users.

Some retailers in the market were seen selling high quality and dry locally produced onion at Rs300 per kg claiming it as export quality. Most of the retailers are selling wet onions arriving from Sindh.

Falahi Anjuman Wholesale Vegetable Market Super Highway President Haji Shahjehan said only four to five trucks carrying Iranian onions have been arriving daily in the wholesale mandi.

There are reports, he added, that the Iranian government had lowered the duty for the export of onion and tomatoes.

He urged the government to impose a ban on onion export for at least 15 days to control the rates.

Published in Dawn, February 7th, 2024