On July 20, local time, the Indian government announced that in order to ensure the supply of the domestic market, India will ban the export of rice except steamed rice and Indian fragrant rice. On August 19, local time, the Indian Ministry of Finance issued a notice to impose a 40% tariff on onion exports. This notice will take effect immediately and will be implemented until December 31 this year.

According to the notice, this measure is aimed at curbing the price rise of onions while ensuring sufficient supply in the domestic market of India. Data show that the wholesale price of onions in major Indian markets rose to 24 rupees (about 2.1 yuan) per kilogram between July and August, an increase of nearly 20%.

the price of onions in India is highly sensitive to climate, when the anti-seasonal rainy season or high temperature, the domestic production in India will decline and the price will rise. India's main onion producing areas suffered monsoon rainfall in July, resulting in increased onion decay, and then India may experience the driest August in more than 100 years, onion and other crop production will be affected, industry insiders predict that onion prices will further rise in the future.

on the 11th, the Indian government has begun to release onions from stocks. Reuters reported that India is the world's largest onion exporter. In the first half of this year, onion exports reached 1.46 million tons, a year-on-year increase of about 63%. It is reported that due to the recent rise in vegetable prices as a whole, India's consumer price index rose 7.44 in July from a year earlier, the highest level in 15 months.

Source: Ningbo Shipping