US buyer turns to ‘spicy' Indian onion

The Hindu businessline CHENNAI, FEB. 13: 

Indian onion may be considered pungent than the ones grown elsewhere in the world. Some even term it ‘spicy' onion.

But it is the pungency that has turned a US buyer towards it.

“We have got enquiries from a US buyer for our onion. We have been asked to send a sample consignment,” said Mr Rupesh Jaju, Director of Nashik-based United Pacific Agro Pvt Ltd.

Asked what made the buyer look to Indian onion, he said: “It is because of our pungency”.

Indian onion, however, is unlikely to be sold in the US. “The buyer has said there will be no need for quarantine or other certification process. It will be stored and processed in a warehouse,” he said.

NEW MARKETS?

The onion, most probably, could find its way into markets such as Mexico or Panama around the US. Or it could even be processed into a value-added product for sale in the US itself, according to trade sources.

“Indian onion cannot get into the US as it is a large producer,” said Mr Jaju.

According to the Food and Agricultural Organisation, the US is the third largest producer, after India, producing over three million tonnes of onion.

More than that, the US has stringent quarantine norms in place that could make it difficult for Indian onion to enter that country.

“The US buyer will test the sample consignment and after that could place order for one or two containers. It will be a breakthrough if we get orders since we have never exported onion to the US,” said Mr Jaju.

During April-January period of the current fiscal, 11.98 lakh tonnes of onion were exported at a unit price of Rs 12,500 a tonne. In the previous fiscal, totally 13.40 lakh tonnes were shipped out of the country at a unit price of Rs 16,103 a tonne.

Exports mainly go to the Gulf, Malaysia, Singapore and Europe. If the US buyer comes forward to buy Indian onion, it will be first time that the vegetable will cross the Atlantic Ocean.

mrsubramani@thehindu.co.in