Informist, Monday, Sep 16, 2024

NEW DELHI – The government late on Friday slashed the export duty on onions to 20% from 40?rlier to incentivise exports and help farmers get a better price realisation. The change in export duty came into effect on Saturday.

The government also removed the minimum export price of $550 per tn on onions. The government in May lifted the ban on onion exports but imposed a minimum export price of $550 per tn.

"Due to reduction in export duty, onion producing farmers will get good prices for onion and onion export will also increase," Agriculture and Farmers Welfare Minister Shivraj Singh Chouhan said in a post on the social media platform, X, on Saturday.

A total of 260,000 tn of onion was exported in Apr-Jul this year, according to official data. Additionally, the government on Sep 5 began retail sales of onions at 35 rupees per kg in Delhi and Mumbai by flagging off mobile vans of the National Cooperative Consumers' Federation of India and National Agricultural Cooperative Marketing Federation of India. The government on Friday said about 3.8 mln tn of onions are reported to still be in storage with farmers and traders in the country.

The reduction in export duty is despite retail inflation in onion ruling at over 50%. According to the latest CPI data, onion inflation was at 54.06% in August, down from 60.59% in July. End

US$1 = 83.89 rupees

Reported by Sayantan Sarkar

Edited by Saji George Titus

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