Middle East: Imports of Fresh Onions and US Exports

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By Mark Wocial, Certified Global Business Professional, Wocial & Associates LLC

 

According to the U.N. international trade statistics, countries in the Middle East imported approximately 1.3 million metric tons (MT) of fresh onions and shallots in 2017, valued at $384 million. The quantity of onions imported into the region accounted for approximately 16 percent of global imports.

Saudi Arabia, U.A.E. and Iraq are the largest importers in the region. Last year, Saudi Arabia imported 393,000 MT of fresh onions and was the third largest importing country in the world. Egypt was the largest supplier of onions to Saudi Arabia. In 2017, exports of onions from Egypt accounted for 57 percent of Saudi Arabia’s imports. Yemen and India were the second and third largest suppliers, each accounting for around 20 percent of the import market.

The U.A.E. is the second largest onion importing country in the Middle East. In 2017, the country imported 365,000 MT of fresh onions and was the fourth largest importer in the world. India supplied 75 percent of U.A.E imports, and Egypt supplied 16 percent. Last year, Iraq imported an estimated 203,000 MT of fresh onions, Kuwait 98,000 MT and Qatar 78,000 MT.

Overall, fresh onion imports by countries in the region more than doubled between 2009 and 2017. Unfortunately, U.S. exports showed an opposite trend. Overall, U.S. exports of fresh onions and shallots reached a peak of 3,640 MT in 2011 and declined steadily to 1,010 MT in 2017.

The U.A.E. is the largest market in the Middle East for U.S. exports of fresh onions. Last year, the country accounted for 86 percent of U.S. shipments to the region. However, U.S. exports reached a peak of 2,200 MT in 2011 and declined steadily in the following years, down to 864 MT in 2017, valued at $756,000. Kuwait is the second largest market in the region, but U.S. exports reached 659 MT in 2011 and fell to 94 MT in 2017. Exports to other countries in the region showed similar declining trends. Last year, the U.S. exported 46 MT to Saudi Arabia, 2.5 MT to Oman, 2 MT to Bahrain and 1.3 MT to Qatar.

Given the fact that the Middle East is a large importer of fresh onions, and the U.S. has four free trade agreements with countries in the region (Bahrain, Israel, Jordan and Oman), it seems that export potential is not being fully realized.

 

Author’s note:This information is based on the author’s analysis of the international trade data collected by the United Nations International Trade Statistics Database and the U.S. Census Bureau Foreign Trade Division.