Pak onions are not coming to India

Image
Press Trust of India Lahore
Last Updated : Jan 20 2013 | 7:32 PM IST

Onion exports from Pakistan to India via the Wagah land border have not yet resumed despite the partial easing of a ban even as an exporter claimed the supplies of the vegetable to the neighbouring country had shot up through the sea route.

The supplies through the land route has been stuck as authorities have made it mandatory for exporters to possess "irrevocable letters of credit" issued before January 4.

Due to this condition imposed by authorities, not even a single truck has crossed over to the Indian side since yesterday, customs officials here said.

The condition has made it difficult to clear even consignments that have been stranded on the Pakistani side at Wagah for the past few days, they said.

Prime Minister Yousuf Raza Gilani had on Wednesday given permission for Pakistani traders to go ahead with onion exports to India for orders that were concluded before January 4, when authorities imposed a ban on the supply of the vegetable via the land route.

The overall ban on onion exports remains in place.

Muhammad Khalil Bhatti, a leading exporter of Lahore, said orders for perishable items were usually concluded with Indian importers orally on the basis of mutual understanding and payments were received after the delivery of consignments.

The government has made it difficult for exporters to clear their finalised orders by imposing the condition of requirement of a letter of credit.

Consignments of perishable goods are dealt with by importers and exporters on a day-to-day basis, he said.

Bhatti said a majority of traders had either dumped their onion consignments in warehouses or sold them in the local market as they had no other option.

A few traders, who did not remove their trucks from the border, were still hoping their consignments would be cleared.

Bhatti criticised the government for only blocking onion export via the Wagah land border, saying large quantities of onions were being exported by other land and sea routes.

Following the ban, around 1,000 tonnes of onion was being sent to India by sea and exports were also continuing to Afghanistan, Iran, Sri Lanka, Dubai, Malaysia and other countries on a daily basis, he said.

*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Jan 14 2011 | 2:44 PM IST

Next Story