UAE Ministry of Economy announces the onion market gradual price decline
The Ministry of Economy has reported a notable increase in onion supplies recently, with a corresponding rise in import alternatives.
This surge in availability has led to a relative decrease in the prices of certain onion varieties, with expectations of further declines in prices across several types. Officials within the retail sector have corroborated this trend, noting a significant influx of onions into sales outlets, which has contributed to price stability overall. Anticipations are high that by the end of March, onion prices will experience a more pronounced decrease as additional quantities are introduced into the market, coupled with the cessation of the Indian onion export ban.
Abdullah Sultan Al Fan Al Shamsi, Assistant Undersecretary of the Ministry of Economy for the Commercial Control and Governance Sector, emphasized the positive response of supply companies and retail establishments to the global onion supply crisis triggered by India's export ban. He highlighted the considerable increase in supply quantities in local markets, alongside the rise in import substitutes. Yaqoub Mohammed Al Balushi, Director of the Fresh Food Trade Department at Union Cooperative, observed a gradual decline in onion prices compared to the previous month, attributing this trend to the influx of large quantities from alternative markets. He foresees a further reduction in prices by the end of March, fueled by increased supply and the lifting of the Indian export ban.
KP Thampan, the regional director of the Lulu Commercial Group, noted the positive impact of competitiveness and promotional offers on onion prices, affirming that sales outlets are experiencing ample onion availability, which bolsters price stability.
Similarly, Dilip Bijoy, a sales official at a retail chain, highlighted the gradual price reductions across various onion types, fueled by increased supply diversification from countries like Iran, Turkey, and Pakistan. Expectations are for prices to continue declining in the foreseeable future.
