Why Indian onion exports are halted at worst possible time
Indian onion exports to West Asia have ground to a halt after major ports closed and shipping lines suspended movements due to regional tensions.
This comes at the peak Ramadan shipping window, when overseas demand surges about 30%.
With consignments stranded at origin, farmers—already upset over low prices—are feeling even more pressure.
Farmers protest low prices
Onion prices in northern Maharashtra were subdued, with Lasalgaon rates around ₹1,400-₹1,500 per quintal, leading to protests.
Export earnings took a hit too, dropping from ₹4,500 crore in 2024 to ₹3,100 crore in 2026 (this year) (cite source).
Bangladesh was a big buyer, contributing ₹1,700 crore in 2024 (cite source).
Pakistan fills India's export gap
Pakistan is quickly filling the gap left by an export restriction (date and source needed): it shipped out 220,000 tons between December 2025 and March 2026 (cite source) and plans much more for the 2025-26 crop year (cite source).
Meanwhile, India has seen reduced exports, losing ground in key markets like Bangladesh.
Government intervention likely needed soon
With fewer onions leaving the country, there could be an oversupply at home—possibly pushing prices up or down unpredictably.
The government may need to step in soon if things don't improve for local farmers facing tough competition and falling profits.