MEP On Onion Export

India had imposed an export ban on onions between December 31 to March 31, amid surging domestic prices; however, permitted the export of 64,400 tonnes to UAE and Bangladesh, earlier this month

The government on Saturday imposed a minimum export price (MEP) of USD 800 per tonne on onion exports till December 31 this year with a view to increase availability of the vegetable in the domestic market and contain prices. "Exports on onion is free. MEP of USD 800 FOB (free on board) per tonne is imposed till December 31, 2023," the Directorate General of Foreign Trade said in a notification. Onion prices have further risen to Rs 65-80 per kilogramme in the retail market of the national capital on lower supply. Mother Dairy, which has around 400 Safal retail stores in the Delhi-NCR, is selling loose onions at Rs 67 per kg. E-commerce portal Bigbasket is selling at Rs 67 per kg, while Otipy at Rs 70 per kg. Local vendors are selling onions at Rs 80 per kg.

The government last week decided to lift ban on export of onions in view of projected sharp fall in prices due to bumper rabi crop

Decision follows sudden spurt in onion prices, which have more than doubled since August; Traders says govt action unwarranted

A day after Finance Minister Arun Jaitley spoke at length about expanding agricultural export, the government removed the restriction on onion shipment.It has removed the minimum export price (MEP) on onion and allowed domestic traders to ship out all its varieties. "We are taking all measures to promote export of agriculture products," tweeted commerce and industry minister Suresh Prabhu.Back in November, the government had imposed an MEP of $850 or Rs 54,000 a tonne. Such limits are imposed every now and then to discourage foreign traders from buying at a time when lack of supply lifts prices beyond a certain limit.However, traders had complained they were already fighting heavy competition abroad from producers in Egypt and Pakistan. India is the second largest producer of onion after China but is also among the largest consumers.The MEP decision had been taken after the price had risen to its highest in two years. Retail prices across major cities had been Rs 40-50 a kg. From ...

Retail onion prices, which have shot up to Rs 50-65 per kg in most cities, have come under pressure due to tight supplies