Japan and US object to India’s frequent bans on onion exports

Published 2021년 7월 13일

Tridge summary

India's fluctuating bans on onion exports have been criticized by the USA, Japan, and onion growers from Maharashtra at the World Trade Organization. The sudden export bans and the lack of a clear export policy have led to difficulties for importing countries and losses for growers. The government's ad hoc export policies have also allowed countries like Pakistan, Turkey, and Egypt to dominate the international market. The four-month ban and the pandemic-related decline in demand have resulted in the lowest onion export revenue in six years.

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Original content

The USA and Japan have strongly objected to India’s frequent ban on onion exports at the World Trade Organization (WTO), claiming that such prohibitions without prior notification put importing countries in a difficult position.This, in turn, has prompted onion growers from Maharashtra to demand that the Centre draft a comprehensive policy on the import and export of onion instead of taking ad hoc decisions.At the meeting of WTO’s committee on agriculture last month, the US and Japan requested India to clarify why it has not opted for an export quota, which would allow a certain amount of exports.The sudden export ban had also drawn protests from onion farmers and neighbouring countries like Bangladesh and Nepal, which depend heavily on Indian onions. Bangladesh Prime Minister Sheikh Hasina had raised the issue at a business forum in Delhi.In September 2020, the government banned exports of all varieties of onions, anticipating a shortfall as exports shot up 30% in the April-July ...

Source: Financialexpress