DAMMAM: More than the onion itself, the price of onions now makes you cry, at SR4.5 to SR5 a kilogram from a low of only SR0.95 a kilogram not so long ago. Retailers say that the recent price hike is due to an international price rise and a ban on exports in some countries like India. A few weeks ago the Indian government banned exports of onions after the price doubled in some cities because of a shortage in local supplies, owing to the unexpectedly long monsoon which destroyed the crops of many farmers. “The cost of onions has never been so high in the Kingdom. There are various reasons for the current price hike,” said Satheesh, manager of a vegetable and fruit section at Al-Rabie Supermarket in Dammam. He said there is a high demand for Indian onions in the Kingdom. “We have replaced the Indian onion with Egyptian varieties, but it is not enough because of the great demand. Yemen and Pakistan have also stopped their onion exports due to high demand in their countries and now we are depending solely on Egyptian onions,” he said. “Most customers are not buying bulk amounts now. Instead, they are purchasing in smaller limited quantities because of the high prices and expectations that the price will come down,” he added. Wholesalers at Dammam vegetable market say that they have little stock left and that the price would rise further if the ban is not lifted by India. “Egyptian onions are the only source now and they are coming by road. The delay of two to three days on the border for clearance is affecting the quality of onions and it is also causing a shortage in the local market,” says Abdul Hameed, an onion importer in the Dammam wholesale market. Wholesalers and retailers are now dividing onions into smaller packs of one kilogram instead of the five and 10 kilogram sacks. Onions are essential in Arab and Asian cuisine, and high prices have forced some restaurant owners to increase the prices of certain dishes. Salads are now served without onions at most Indian and Pakistani restaurants. Onions have also disappeared from the promotion advertisements of major hyper and supermarkets in the Kingdom.
