Amid growing farmer protests and political pressure against the ban on onion exports, Food and Consumer Affairs Minister K V Thomas on Wednesday said the government might review the decision at the next meeting of the Empowered Group of Ministers (EGoM) on Food.
Last week, the EGoM, headed by Finance Minister Pranab Mukherjee, had decided to ban the export of onions — a staple of the Indian kitchen — to boost domestic supply and control rising retail prices, which have risen to Rs 25 a kg in the national capital from Rs 15 a kg a few weeks ago. The panel of ministers also decided to review the export ban after every 15 days.
A report from the National Horticulture Research and Development Foundation had blamed the sudden spurt in the prices on hoarding by traders and delayed sowing of the kharif onion crop. “We are watching the situation. We may review the decision in the next EGoM,” Thomas told reporters here.
He said the government was not against farmers and traders, but emphasised that onions should be available to consumers at a reasonable price.
All the onion markets in Nashik district of Maharashtra have remained closed since September 9 in protest against the ban. The minister said the government took the precautionary decision to ban exports as it did not want prices to escalate to the levels witnessed earlier this year, when the commodity was selling at Rs 80 a kg.
Thomas said state-run National Agricultural Cooperative Marketing Federation and National Cooperative Consumers Federation of India have started selling onions from their outlets in Delhi at Rs 18 a kg.
All major political parties in Maharashtra, along with the chief minister have urged the Union government to lift the ban on exports. Maharashtra is the country’s largest onion producer, accounting for 30 per cent of the annual crop. Following the ban on export, onion prices dropped by Rs 4 a kg last week in Nashik’s wholesale market. In Delhi’s Azadpur wholesale market, the prices have dropped by Rs 8 a kg.
