A representative from The Ministry of Agriculture, Fisheries, and Water Resources recently announced that the Ministry is actively engaged in the process of finalizing a new agreement aimed at expanding onion production across an area spanning 621 acres.
In an interview with The Observer, Dr. Masoud al Azri, the Director General of Marketing in Agriculture and Fisheries, underscored the importance of augmenting local onion production. He explained, "Lately, it has come to our attention that several nations have instituted export bans on onions, including Oman, which, due to its significant importation of onions, has been impacted. Currently, our domestic onion production is insufficient to meet our consumption needs, with only about 11% of our onion requirements being met by local production. Consequently, we are compelled to import vast quantities valued in millions of rials. This situation has prompted a shift towards cultivating onions within Oman to bolster self-sufficiency and reduce reliance on imports." Last week, the Ministry successfully concluded an agreement for the development of this project, which is projected to yield an annual output of 700 tonnes of onions in the Wilayat of Dhank within the Al Dhahirah Governorate.
Dr. al Azri provided further details on the progress of the project, stating, "The Dhank Agricultural Production project, previously mentioned, has commenced with the excavation of wells and is currently in the preparatory stages for land preparation for cultivation. Additionally, all necessary equipment and supplies have been procured for this significant undertaking." He expressed optimism regarding the project's potential to significantly increase local onion production and enhance Oman's self-sufficiency rate once commercial production is initiated.
Furthermore, the representative disclosed that negotiations are underway with Nakheel Development Oman for the acquisition and marketing of the harvested crops.
According to data from the Ministry of Agriculture, Fisheries, and Water Resources, the nation currently imports 86% of its annual onion supply, with a volume of 91,320 tonnes, with only 14% of onions being produced domestically, amounting to 14,866 tonnes annually.
Earlier in the year, there was a notable increase in the price of red onions by 300%, coinciding with a months-long halt in onion exports from India, which accounts for 43,000 tonnes of onions or 44% of Oman's total onion imports.
The price of red onions escalated from 0.140 baisas per kilo in 2023 to 0.600 baisas per kilo by mid-February 2024.
