MALDA: Onion prices may be bringing tears to the eye, but across the border in Bangaldesh, Indian-grown onion is selling almost 40% cheaper.

On Friday, when a kilo of onion cost Rs 70-80 in Malda, or all other Indian markets, it was selling for taka 63-64 (Rs 45-47) in Rajsahi, Chapai Nawabgunj, Baliadanga and Dhaka Mirpur in Bangladesh. Almost 2,500 tonnes of onion are being exported daily through the five export centres of the state at a time when the Centre is mulling importing onion to keep prices in check.

Bengal has five border export centres—Mahadipur in Malda, Petrapol and Gojadanga in North 24-Parganas, Hili in South Dinajpur and Changrabandha in Cooch Behar. While hosiery goods and plastic containers are imported from Bangladesh, a huge amount of fruits, onion, pulses, cement and stone chips is exported.

When onion prices started soaring across the country, the government hiked the export tariff for onion in late August by $200 per metric tonne, taking it $900. As a result, onion did get costlier in Bangladesh but not as high as this side of the border. In spite of this, and the recent political unrest in Bangladesh, 500-600 tonnes of onion are still exported every day through Mahadipur alone.

When asked about this, exporters pointed to central and state policies. Uzzwal Saha, joint secretary of Exporters’ Coordination Committee , said, “The price or export of onion is determined by the National Agricultural Co-operative Marketing Federation of India Ltd (Nafed). They had settled the export tariff and amount long ago, which is why onions have to be exported following the contract. While Bangladesh is getting onions cheaper, we are facing losses. We have demanded that the Nafed decide the rates according to market price. Otherwise our country will suffer and exporters will also lose interest.”

“Unlike previous years, the government has not imposed any restriction on export despite the price hike. So, onion is getting ever costlier,” said Samir Ghosh of Federation of Bengal Exporters’ Association, claiming that the Centre plans to increase the export tariff to $1200 in November, which might put a cap on the export or increase the price of onion in Bangladesh as well.

Jayanta Kundu, secretary of Malda Merchant Chamber of Commerce , said traders are not responsible for the rise of onion price. “We are not endorsing black marketing. The government should immediately stop export of onions to Bangladesh to control the price in our market,” he said.

