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India taking back onion from land ports

Indians put pressure on Bangladeshi traders to hike prices

Star Business Report
Indian exporters are taking back Bangladesh-bound onion from their land ports and selling them at higher prices in West Bengal, Bangladeshi importers said yesterday.
"Even yesterday large shipments of onion were waiting at Indian land ports to enter Bangladesh, but those were taken back and sold in the local [Indian] markets at higher prices," said Khandaker Babul, general secretary of Dhaka Mohanagar Krishiponno Amdanikarok Association, a platform of perishable goods importers.
The prices of onion at the ports were set-tled at $330-$350 a tonne a few weeks ago, before the Indian government set the minimum export price of the cooking ingredient at $650 on Wednesday to tame its market.
India taking back onion from land ports
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"Now the Indian exporters are putting pressure on the Bangladeshi traders to hike the prices," said Helal Uddin, vice-president of the Federation of Bangladesh Chambers of Commerce and Industry.
They spoke at a press briefing after a meeting of the onion importers and traders with the commerce ministry at the secretariat, against the backdrop of the spiralling prices fuelled by a supply crunch in India.
Commerce Secretary Mahbub Ahmed said they are now looking into options to import onion from Myanmar through Trading Corporation of Bangladesh.
"I hope the prices will come down soon," he said.
The secretary also blamed the sudden price hike on some hoarders among farmers and traders.
The annual demand for onion is 20 lakh tonnes in Bangladesh, he said. "We have adequate stocks, but the prices went up due to a hike in the Indian market, ” he said.
An additional secretary of the commerce ministry will go to Chittagong and Cox’s Bazar soon to facilitate import of onion from Myanmar through Teknaf land port, Ahmed said.
The ministry's market monitoring teams will also launch drives to crack down on hoarders and price manipulators, he added.
Our Dinajpur correspondent adds: The Indian customs yesterday stopped exporting onion to Bangladesh through Hili land port without any prior notice.
Importers at the port alleged that Indian customs raised the price of onion to $650 a tonne from $400 on Saturday.
The Indian customs officials told the Bangladeshi traders that they would not release the onion at $400 settled in the letters of credit earlier. Before the Eid festival, the price was $300.
Due to the sudden dedsion, at least 100 onionladen trucks got stranded inside the Indian territory, said Mazedul Haque; assistant commissioner at Hili land port.