Amid an extended ban on onion exports, farmers and traders are miffed that some shipments allowed by the government to markets like the United Arab Emirates (UAE) have been sold at a pittance, even as global prices have soared, yielding windfall profits for selected importers.
An Indian farmer is being paid just ₹12 to ₹15 rupees for a kg of onions procured for export, but the same onions are then being sold in UAE stores for more than ₹120 per kg, exporters alleged.
Fearing a domestic shortage of the politically sensitive crop, the government had imposed a ban on export of the kitchen staple in December, extending it indefinitely “till further orders” last month. However, it had kept the window open for exports to countries in response to requests received through diplomatic channels.
