Onion exports of India to Sri Lanka and Bangladesh slow down on payment crisis and higher levies

Published 2022년 4월 18일

Tridge summary

The financial crisis in Sri Lanka and the government's efforts to encourage local onion production in Bangladesh have led to a significant decrease in onion exports from Nashik, India's largest onion-growing region, to these countries. The exports have dropped from 4,000-5,000 tonnes per week to 1,500 tonnes a week due to delays in payments from Sri Lanka and Bangladesh's new tax on imported onions. The situation has led to concerns among Indian exporters about the potential negative impacts on their business.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Onion exports to Sri Lanka and Bangladesh have slowed down due to the current financial crisis in Sri Lanka and measures taken by the Bangladesh government to encourage local production in addition to imposing a tax on imported onions, reports Financial Express. Exporters from Nashik, the country’s largest onion growing belt, claim that exports to Sri Lanka have reduced due to a delay in payments. The island nation is in the grip of its most painful economic downturn since independence in 1948, with severe shortages of essential goods and regular blackouts. Bangladesh is the biggest importer of onions from India, followed by Sri Lanka. Exporters said total exports to Sri Lanka and Bangladesh have dropped from 4,000-5,000 tonnes per week to 1,500 tonnes a week. Many exporters to Sri Lanka have not received payment for consignments sent in December 2021. The payment window has increased from 15-20 days to two-three months due to the currency crisis in the country. Exporters fear ...

Source: Indoasiancommodities