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China onion and India onions, which one gains more global onion market?

Feb 04, 2024

Onions are a common vegetable and an important seasoning. They have a spicy and rich aroma, which can enhance the flavor and color of dishes. They also have certain nutritional and medicinal value. Onions have different consumption habits and demands in different countries and regions, as well as different planting techniques and yield levels.


China and India are two important participants in global onion production and trade, and their onion production and prices have a significant impact on both domestic and international markets. So, what is the difference in China onion and India onion? Who is the real winner of onions?
Chinese onion: the world's largest producer, but insufficient onion export.


China is the world's largest onion producer and onion exporter, producing approximately 24 million tons annually, accounting for approximately 23% of global onion production. The onion cultivation area in China is vast, with production occurring in various regions, mainly concentrated in provinces such as Shandong, Gansu, Hebei, Jiangsu, and Sichuan.

 

There are various varieties of onions in China, including red skin onions, white skin onions, yellow skin onions, etc. Among them, red skin onions are the most common and popular among consumers. China onion production technology is also constantly improving, adopting some new planting methods and equipment, such as drip irrigation, insulation film, mechanical harvesting, etc., which has increased the yield and quality of onions.
Chinese onions not only meet domestic onion consumption needs, but also have a portion for export, mainly to Asian countries such as Vietnam, Japan, Malaysia, South Korea, as well as Western countries such as the United States and the European Union. China's onion export prices are relatively low and have a certain price advantage, but the export volume is not large enough, accounting for only about 5% of the global onion export volume.
This is because China onion exports have been subject to some restrictions and challenges, such as fluctuations in domestic market demand, competitive pressure in the international market, inconsistent export quality standards, and costs and risks of export transportation and storage. Therefore, there is still a lot of room and potential for improvement in China's onion exports.


Indian onions: second in global production, but with significant price fluctuations.

 

India is the second largest onion producing country in the world, with an annual production of approximately 19 million tons, accounting for approximately 18% of global onion production. The onion cultivation area in India is also very wide, mainly distributed in Maharashtra, Karnataka, Gujarat and other regions, where onion production accounts for about 60% of the country.


There are two main onion varieties in India: red skinned and white skinned, with red skinned onions being the most common and favored by consumers. India's onion production technology is relatively backward, mainly relying on traditional manual planting and harvesting, lacking modern equipment and management, resulting in unstable onion yield and quality.


Indian onions are not only one of the main vegetables domestically, but also an important export commodity abroad, mainly exported to South Asian countries such as Nepal, Bangladesh, Pakistan, as well as the Middle East, Africa and other regions.


The export price of onions from India is relatively high and has a certain profit margin, but the export volume is very unstable and fluctuates greatly due to the influence of domestic and foreign markets.


This is because India's onion exports are facing some difficulties and problems, such as the impact of climate change, domestic supply-demand imbalance, government policy intervention, control of export quality, and difficulties in export transportation and storage. India's onion exports still face many risks and challenges.


The Onion Struggle between China and India: Who is the Real Winner?

 

Both China and India have high onion production, but there are significant differences in exports. Although the export volume of onions from China is not large, the export price is low, the export market is stable, the export quality is reliable, and the export efficiency is good.


Although India's onion exports are relatively large, the export prices are expensive, the export market is volatile, the export quality is uneven, and the export risks are high. So, from the perspective of onions, who are the real winners between China and India?


There is no simple answer to this question, as different evaluation criteria can lead to different conclusions. If production is taken as the standard, then China is undoubtedly the winner, because China's onion production exceeds that of India, and there is still room for growth. If the export volume is used as the standard, then India may be the winner because India's onion export volume is higher than China's, and there is also potential for expansion.


epilogue


The onion production dispute between China and India is actually a comparison of two different development models and strategic choices. Chinese onions mainly meet domestic demand, with exports as a supplement, emphasizing quality and efficiency, and developing steadily. India's onions are mainly exported, supplemented by domestic demand, pursuing scale and profit, and growing rapidly. Both modes have their own advantages and disadvantages, as well as risks, and there is no absolute good or bad.

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