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ONION

prices galloping

Traders cash in on India's ban on export

Staff Correspondent
Traders have hiked onion prices exponentially within a day, capitalising on India's export ban on the essential spice.
Retailers sold each kg of onions for up to Tk 120 at kitchen markets in the capital's Palashi and Mohammadur areas. It was about Tk 80 the previous day.
“They are selling from their old stock, but they raised prices overnight," said an elderly shopper at Mohammadpur Town Hall kitchen market after buying 500gm of the locally grown onion atTk55.
The traders hiked the prices even though their stockpiles were bought at much cheaper rates.
Bangladesh does not produce enough onion to meet the domestic demand.
About 11 lakh tonnes of onion are imported every year to meet the demand of about 24 lakh tonnes.
"The market is unlikely to remain stable without supply from India," said Mohamad Jamal, a wholesaler at Karwan Bazar.
Traders said the prices are rising amid speculations that there is not enough locally grown onion in stock.
The picture in kitchen markets of Chattogram were similar yesterday.
In Dinajpur and its adjacent districts, prices of the bulbs soared by about Tk 40. Each kg was sold for about Tk 95 yesterday, reports our correspondent in Dinajpur.
Some grocery shoppers in the capital said they would buy fewer onions.
A retailer at Mohamamadpur Town Hall admitted that he was selling onions he had bought much earlier than the recent export ban in India.
Stem action if anyone stockpiles onion illegally
ACTION AGAINST HOARDERS Talking to reporters yesterday, Commerce Secretary Jafar Uddin said the country has of 3 lakh tonnes of onion and it will last 50-55 days.
He told The Daily Star later that hoarders would face stem action.
Besides, two ships of onion arrived in the country from Myanmar and more are in the pipeline.
Around 350 tonnes of onion imported from Egypt, China and Singapore arrived in Chattogram port yesterday, reports our staff correspondent.
Thirty-five truck will be deployed to sell onions in Dhaka, he added.