All India production has increased to 22.81 million in 2018-19 from 19.40 million in 2013-14. Onion production has shown a growth of almost 20% in last 5 years. Maharashtra is the largest producer with a contribution of approximately 35% followed by Madhya Pradesh and Karnataka which contribute approximately 16 and 11% respectively. Approximately 60% of onion crop is grown in Rabi season and 40% crop in kharif & Late kharif season. Maharashtra is the which contribute maximum production in all the seasons.

                                                                                                                                                 (Yield Ton/Ha)

(Source: NHRDF)

Above table depicts the yield comparison state wise. Yield has shown an increase of approximately 12% in last 4 years. Gujarat has the maximum yield of approximately 25 Ton/ha followed by Madhya Pradesh and Bihar.

(Source: NHRDF)

As per NSSO consumption survey in 2011, per capita onion consumption in India is 0.89 kg/month.

Overall onion consumption in India is estimated to be approximately 14 million tons per annum.

The table above depicts the onion production in major onion-growing countries. China is the largest onion producing country closely followed by India at second position. China’s production approached 24 million tons in 2018-19 while India’s production in the same year was around 22.07 million tons. Egypt, USA, Iran, Turkey, Russia and Pakistan are the other major producing countries.

(Source: FAO)

The table above shows the onion yield comparison of major producing countries. USA has the highest yield at 62.33 ton/ha, followed by Iran, Egypt and Turkey which have yields above 32 ton/ha. India has the lowest yield after Pakistan among the major producing countries.

India normally exports approximately 1.2 million tons to 2 million tons of onion per year. However 2016-17 was an exception in which over 2.4 million tons of exportsoccured because incentives of 5% to traders were given under MEIS Scheme valid from 26th August 2016 to 30th September 2017.Indian onion is in high demandin Gulf countries followed by Malaysia and Nepal due to its pungency.

Onion Storage is estimated to be 50-55% of total production in Maharashtra and 55-60%% in M.P based on farmer’s survey last year. Storage figures are for May end.

Onion prices starts moving upward from July because rabi crop arrivals have ended by this time and the country completely relies on rabistocks till September. Prices start coming down in October as fresh kharif and late kharif crop starts arriving in the market from Maharashtra and Karnataka. In August–September,a smaller quantity of crop also comes from Andhra Pradesh and plays a significant role in controlling the high prices. Thus any damage to the onion crop in Andhra Pradesh or lower production in Andhra Pradesh could result into uncomfortably high prices during August to September.

Methodology of Balance Sheet Computation:
• All India Rabi and kharif production is estimated to be 134.71 lakh ton and 65.26 lakh ton respectively for year 2018-19(crop year is assumed from August -July). Last year Rabi and Kharif production was 151 lakh tons and 60 lakh tons respectively.
• Till January 2019 exports are taken from DGCIS. February month onward exports are assumed on the basis of past trend.
• Monthly arrivals are estimated on the basis of onion production in 3 different seasons (kharif- Aug to Dec, Late kharif-Jan to March and Rabi- March to June)
• Monthly consumption of onion is 11-14 Lakh tons are based on prices and availability.
• Annual consumption figures are estimated to be 143 Lakh tons (based on NSSO- per capita consumption of 0.89 kg/month and population of 1.34 billion.
• Post production losses are assumed to be 10% of fresh arrivals in Kharif and 5% in rabi season. Again monthly 5 % losses after storage of rabi onion. In this way, total post production loss comes out to be 15-20% annually.