Dynamics of Onion Production and Trade in India: Regional Trends, Export Patterns, and Policy Insights
Akshata Nayak and Channamma G
Abstract
India is the world’s leading producer and exporter of onions, yet its onion sector faces significant regional disparities, market volatility, and policy inconsistencies. This study examines long-term trends in onion cultivation across Indian states, with a focus on the area, production, and productivity over a 39-year period (1984–2023). It employs compound growth analysis and the Markov Chain model to assess trade dynamics and export market stability. The results reveal substantial regional variations, with Western and Central India driving growth, while Southern and Northeastern states experience declines. Despite an overall rise in production and export value, productivity remains stagnant nationally. Export patterns show shifting trade directions and retention inconsistencies, particularly among major buyers such as Bangladesh and the UAE. The study highlights the need for region-specific policies, investment in post-harvest infrastructure, and consistent export strategies to enhance resilience and global competitiveness in India’s onion sector.