Kathmandu, Jan 26 : The price of onion has started to decline fast in the market following the resumption of its import from India lately.
Onion price has decreased by almost 50 per cent in the local market within two weeks, said Binaya Shrestha, information officer of Kalimati Fruit and Vegetable Market Development Board (KFVMDB).The wholesale price of onion is Rs. 90 per kilogram at Kalimati market which was Rs. 200 per kilo a month ago, he said.
The price of onion had skyrocketed in the Nepali market after the government of India imposed a ban on its export in September 2019 to control its price at home.
He said that the price of onion could not decrease in the market in line with its decrease in India.
The price of onion is still high in Nepal compared to India, he said.
Even though the ban on export of onion from India remains intact, traders are supplying onion to Nepal taking risks to earn more profits.
According to him, on average 50-60 tonnes of Indian onion is being supplied to Kalimtai market daily.
On some days around 100 tonnes of Indian onion would arrive in Kalimati market, he said.
Despite the ban on the Indian side, all onion brought to Nepal is coming through Nepali customs, Shrestha told The Rising Nepal.
Bhagawan Chandra Upreti, a wholesaler of Kalimati Fruit and Vegetable Market Development Board, said that the traders had been compelled to spend additional amount to import onion from India due to the ban which forced the consumers to pay higher price.
He said that the price of Chinese onion had decreased to Rs. 50 per kilogram in the market after the supply of Indian onion at lower price.
He said that the price of onion in retail market was still Rs. 150 per kilogram due to high profit margin of the retailers.
-The Rising Nepal Daily