‘India agrees to export sugar, onion’

India has agreed to export 50,000 tonnes of sugar and 20,000 tonnes of onion to Bangladesh before Ramadan, said Ahsanul Islam (Titu), the state minister for commerce.

The neighbouring country has put curbs on sugar and onion exports to reduce domestic prices by increasing supplies ahead of the national election in May.

"As a gesture of friendship, the Indian commerce minister agreed to export 50,000 tonnes of sugar and 20,000 tonnes of onion ahead of Ramadan," State Minister for Commerce Ahsanul Islam Titu told The Daily Star over the phone yesterday.

The development comes after Titu on January 24 spoke with Piyush Goyal, India's minister of commerce and industry, over the phone.

In the phone call, Titu sought one lakh tonnes of sugar and 50,000 tonnes of onion.

But Goyal agreed to send 50,000 tonnes of sugar and 20,000 tonnes of onion instantly, Titu said, adding that the agreed essentials will come to Bangladesh on a government-to-government basis.

The rate at which the two commodities will be purchased by Bangladesh is yet to be fixed, he said.

Titu said he also sent a letter to the Indian government on Monday through the Bangladesh high commission in New Delhi about procuring the essential commodities.

"The two essential commodities are not coming under any quota -- it is a good gesture from the Indian government," Titu said.

The demand for sugar doubles to 300,000 tonnes during Ramadan from the average monthly requirement of 150,000 tonnes, as per commerce ministry estimates.

The Indian side could not be reached for comment.