Twitter
Advertisement

Pakistan stops onion exports to India to cool domestic prices

Pakistan’s ministry of commerce has banned export of onions to India by land, but export through sea routes would be open, a senior customs official in Amritsar said.

Latest News
article-main
FacebookTwitterWhatsappLinkedin

Pakistan has left cross-border traders in a lurch by suddenly halting three weeks of onion export to India through the Wagah border in Amritsar. The move may hit the Centre's efforts to rein in skyrocketing prices of onion in the country.

Onions had started coming in from Pakistan from December 19 in view of their scarcity in India.

Officials said Pakistan took the step after onion prices started shooting up there. More than 70 trucks of onions had been received at the Wagah in the last three weeks.

Pakistan’s ministry of commerce has banned export of onions to India by land, but export through sea routes would be open, a senior customs official in Amritsar said.

He also said the ban was only on export via road, and onions could still be imported via goods train running between India and Pakistan.

He said as the ban had come into force, it remained to be seen whether the onion stock, documentation work for which had been completed, would be allowed to cross over.

The sudden ban has hit traders of both the countries with Indian importers claiming that Pakistan had not allowed supply of almost 1,500 tons of contracted orders of onion. Officials said Pakistani authorities had recalled onion-laden trucks from the border.

“I have received a call from an exporter whose five trucks have crossed over, but the remaining five have been recalled. Now, tell me how the documentation work will be completed,” the customs official said.

According to sources, around 300 trucks were ready to bring in onions to India, but they had not entered into Pakistan Customs’ jurisdiction.

Gaurav Aggarwal, an onion dealer, said the wholesale prices of onions, which were above Rs40 per kg, had come down to Rs20-30 per kg after the import from Pakistan started.

The government had also abolished custom duty on import of onions. However, the import had little effect on the prices in the retail market as onions are still being sold at Rs45-60 per kg in different parts of Punjab, a trend which many attribute to inferior quality of onions coming from Pakistan.

Dubbing Pakistan’s decision as “shocking”, New Delhi on Thursday said the issue had been taken up with Islamabad. “It is shocking and unfortunate. We have urged them that the contracted quantities which were to come via land route should be released,” commerce and industry minister Anand Sharma said.   

—With PTI inputs

Find your daily dose of news & explainers in your WhatsApp. Stay updated, Stay informed-  Follow DNA on WhatsApp.
Advertisement

Live tv

Advertisement
Advertisement