Karachi faces onion crisis after suspension of trade between Pakistan and Afghanistan

Consumers in Pakistan's financial capital Karachi are forced to buy onions at exorbitant prices following a shortage caused by the suspension of cross-border trade with Afghanistan after clashes between the two countries.    Citizens of Karachi are paying up to PKRs 220 per kilogram for onions.  The onion shortage comes just days after Pakistan faced a severe Tomato shortage due to the suspension of cross-border trade with Afghanistan.

Tomatoes, at one time, were selling at PKRs 600-700 per kilogram, but since Tomatoes were imported from Iran, prices have come down to PKRs 200 per kg.

A wholesale trader said that onion prices are likely to remain under pressure in the coming days due to a demand-supply gap.

“These are all perishable commodities, and as soon as there is a shortage for any reason, prices shoot up,” said Malik Bostan, a financial expert.

Interestingly, the daily item prices issued by the Commissioner Karachi as per norm never match market prices. The official retail rate of onions is PKRs 104 per kg, but it is available at PKRs 220 per kg.

“Supplies of onion from the new Sindh crop have started on a low note, which may pick up pace by the third week of November, and supply is nonexistent from Afghanistan due to cross-border clashes. Still, till then, prices may remain on the higher side,” wholesale dealer Haji Shahjehan said.   He said that a small quantity is also arriving from Iran, but prices in the neighbouring country are high, and there are problems with the clearance of Iranian onions at the border.

He said that the wholesale price of the main staple food items of the kitchen has swelled to PKRs 6,000-6,500 rupees per 40 kg from PKRs 3000-3,500 a few days back.

Currently, exports of onions have also been suspended due to very high prices, he said.

As per the Sensitive Price Index data ending October 2, the national average price of onions in various cities ranged from PKRs 55-140 per kg, rising to PKRs 65-160 per kg in the week ending October 23.

Economic Survey FY-25 suggests that onion production during FY-25 surged by 16 per cent to 2.670 million tonnes from 2.304 million tonnes in FY-24.