Are you aware that India is one of the world’s largest onion exporters? India was the fourth-largest exporter of onions in the world in 2023–24, exporting onions worth about $422.63 million. However, the last few years have been very rough for the business. Exporters have been struck by internal difficulties, including crop losses and price fluctuations, even as demand internationally is strong. Onion exports from India, especially red onion exports, are very important for providing markets in Asia, the Middle East, and Europe. The current state of onion exports from India, the key actors, challenges, and government measures to support this vital industry will be the subject of this blog.

The Importance of Onion Exports

Onions are a staple in Indian kitchens. India’s biggest export is red onions, which are highly valued in parts of Europe, South-East Asia, and the Middle East. Millions of farmers and traders depend on the export business, especially in significant growth areas like Maharashtra, Karnataka, Gujarat, and Madhya Pradesh. It brings in money from other countries and helps those communities. The red onion exporters of India contribute immensely to both domestic and international markets, making onions one of the key agricultural export commodities.

Onion export from India has continued to rise over the past 10 years because of better growing methods, better storage facilities, and the fact that Indian red onions are known everywhere for their high quality. It was mostly demand from West Asia and Southeast Asia that caused exports to rise by 49% from April to December 2024.

Top Exporters and Historical Data on Onions

To know where India stands, you should look at the world’s onion exports over the last 10 years and see which countries are at the top.

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Common Problems Onion Exporters Face

Despite the growth, onion export from India faces several challenges that have affected performance in recent years..

Many kharif onion crops were lost to heavy rains in September 2025, especially in Nashik, Maharashtra. Losses of up to 80% were seen in some areas on nearly 40,000 hectares of fields. It limited domestic supply and export potential.

The government imposed a 40% export tariff to regulate domestic pricing and a $550 minimum export price in late 2023. This maintained local markets but lowered Indian onions’ international competitiveness. Many importers had to temporarily stop shipments to avoid losses and delays in contracts.

The Netherlands, China, and Mexico have developed into strong onion exporters. Indian exporters must maintain quality and offer competitive prices internationally.

Support from the Government

The Indian government has implemented several schemes to support farmers and onion exporters from India.

RoDTEP Scheme Extension

In March 2026, the Remission of Duties and Taxes on Exported Products (RoDTEP) scheme would pay exporters for different taxes and levies. This helps exporters compete everywhere.

Requests for Additional Incentives

Exporters want a 5% export incentive and a 7% transport subsidy to mitigate interruption costs. Such incentives could boost exports after crop losses and market swings.

The government’s actions show that it wants to stabilize the onion export market and keep Indian onions a safe choice for buyers everywhere.

Opportunities for Indian Onion Exporters

If exporters concentrate on strategic initiatives, their prospects are hopeful despite the barriers. To improve the quality of onions for export, investing in enhanced packing, shipping, and storage methods is recommended to minimize spoiling.

Expanding into new markets in Africa, Europe, and Southeast Asia can help you count less on your regular customers. Efficiency and loss reduction can be achieved by implementing automated logistics, cold storage, and modern agricultural practices.

For red onion exporters, these steps are significant in maintaining India’s reputation for delivering flavorful and durable onions. The onion export from India can grow significantly if exporters focus on sustainability and innovation.

Wrapping It Up

India’s onion export business is at a very important point. Problems include lost crops, tough competition from other countries, and export limits. But Indian exporters can get back on their feet better with help from the government, intelligent planning, and new techniques. India can remain a major player in the global onion market by focusing on quality, growing its markets, and smartly using rewards.

The most important thing for red onion exporters and farmers to remember is to stay strong, change with the times, and use government schemes and technology to work more efficiently. Responsible management has the potential to restore prosperity to the Indian red onion business, which is in high demand.

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