India bans onion exports till March 31 next year
By TOI Desk Report December 8, 2023 Update on : December 8, 2023
India has extended restrictions on the outbound shipments of onions until the end of this fiscal year or March 31 next year in order to increase availability in domestic markets and to keep prices in check.
Indian Directorate General of Foreign Trade Santosh Kumar Sarangi said in a notification has said export policy of onions was prohibited till March 31, 2024, reports Times of India.
The government intends to ensure adequate supply in the country and keep prices of this crop under control.
To boost the availability of onions in the domestic market and control their prices, the government introduced a minimum export price (MEP) of $800 per tonne on onion exports from October 28 to December 31 this year.
According to government data, the retail price of onion hiked 94.39% to Rs 57.85 per Kg on November 29 while the price was Rs 29.76 per kg a year ago.
There was an increase of 58% in prices of onions in November over October. The crop’s festive demand was high and lower output in Kharif season due to erratic rainfall conditions, according to a report by CRISIL.
India had imposed an export duty of 40% on onions in August but it did little to help tame check exports substantially apparently due to under-invoicing of exports.
Egypt and Turkey, which are considered as Key onion exporters, banned onion exports this year. Pakistan’s onion production is also lower. Meanwhile, the Netherlands has also resorted to importing the crop.Read more: India bans onion exports till March 31 next year