Rain damage, oversupply cause sharp drop in onion prices

Onion farmers are facing mounting losses this season as a sharp fall in prices, coupled with rain-induced damage, offsets a significant rise in production.

Farmers in key onion-producing districts -- Pabna, Faridpur and Rajbari -- said output has increased by around 30 percent compared to last year.

However, prices have dropped by at least Tk 300-500 per maund (one maund is equivalent to around 40 kg), leaving many unable to recover production costs.

According to the Department of Agricultural Extension (DAE), onion (seedling) cultivation covered 226,000 hectares (one hectare is equivalent to about 3.95 bigha) of land in the 2025-26 fiscal year, up from 201,000 hectares the previous year.

According to the DAE, onion seedling cultivation covered 226,000 hectares of land in the 2025-26 fiscal year, up from 201,000 hectares the previous year

In Pabna, one of the largest onion-producing regions, farmers say prices have hit a low not seen in the last three to four years.

Md Kamruzzaman, a farmer from Durgapur village in Sujanagar upazila, said onions that sold for Tk 1,500 to Tk 1,700 per maund last year are now fetching only Tk 700 to Tk 800.

“At this rate, it is nearly impossible to recover production costs,” he said.

Kamruzzaman cultivated over 50 bighas this year, including 15 bighas of leased land. While production costs on his own land ranged between Tk 45,000 and Tk 50,000 per bigha, costs on leased land exceeded Tk 80,000 due to high fees.

“I may earn a small profit from my own land, but I am incurring significant losses on leased plots,” he added.

Md Montu Miah of Ulat village said favourable weather initially led to a bumper yield of around 80 maunds per bigha, but early rains damaged crops and reduced quality.

“Farmers could have managed if prices were at least Tk 1,000 per maund. But due to rain, onions are being harvested early and cannot be stored for long, forcing us to sell at low prices,” he said.

At Pushpopara wholesale market in Pabna Sadar upazila, supply has far exceeded demand.

Farmers said large volumes of onions are arriving daily, but buyers remain scarce.

Md Samsul Alam, a farmer who brought 200 maunds to the market, said traders were unwilling to offer more than Tk 600 per maund.

“There aren’t enough buyers to create competition,” he said.

Wholesaler Md Rabiul Islam said more than 100 tonnes of onions arrived at the market on Thursday, against a demand of only around 30 tonnes.

“Most of the supply is of lower quality due to rain damage. Since these onions cannot be stored, the oversupply is pushing prices down further,” he said.

In Rajbari and Faridpur, farmers described a similar situation.

Rahad, 24, from Baliakandi upazila, said he cultivated onions on 1.5 bighas of land this year, spending around Tk 75,000. “Production has been good, but with current prices, I cannot make any profit,” he said.

Rahmat Ali, another farmer from the same area, said he expects to harvest over 500 maunds from two acres this year, compared to 185 maunds last year when he made a profit of Tk 30,000.

“But due to rainfall, many onions are rotting before harvest. At current prices, I won’t even recover my costs,” he said.

Sanjit Kumar Das from Rajbari Sadar said he spent about Tk 2.5 lakh cultivating onions on 2.68 bighas.

“If there had been no rain, I could have sold onions worth at least Tk 7 lakh. Now most of the crop has been damaged. Labour costs are also high, and I don’t have storage facilities. Traders are not offering more than Tk 500 per maund,” he said.

Mafikul Islam from Faridpur’s Saltha upazila said yields have increased by 35-40 maunds per bigha, but low prices remain a major concern.

Officials say the price fall is largely due to oversupply. Shahadat Hossain, senior market officer of the Department of Agricultural Marketing (DAM) in Faridpur, said onions are currently selling for Tk 800 to Tk 1,000 per maund, down from Tk 1,400 to Tk 1,600 during the same period last year.

“Farmers should market their produce as quickly as possible,” he said, expressing hope that prices may rise soon.

Shahidul Islam, deputy director of DAE in Rajbari, said 50-60 hectares out of 138 hectares of onion fields have been partially damaged due to waterlogging.

“We have advised farmers to harvest and market their produce quickly,” he said.

Shahaduzzaman, deputy director of DAE in Faridpur, said onion cultivation exceeded the target this year.

“Although production is good, prices usually remain low during the peak season. If farmers can store their onions, prices may rise within a month,” he added.

As per the Bangladesh Bureau of Statistics, post-harvest losses account for around 25-30 percent of the onions harvested each year, which make imports necessary. Bangladesh produced 30 lakh tonnes of onions in the fiscal year 2024-25 (FY25). That same fiscal year, the country imported 7.71 lakh tonnes of onions.