Govt Imposes Restrictions on Onion Exports as Local Prices Soar

In a bid to curb rising local prices, the Ministry of Commerce has fixed the Minimum Export Price (MEP) of onion with immediate effect. The ministry has set the MEP of onions and shallots at $1200 per metric ton at freight on board (FOB). Moreover, under the notification issued by the ministry, the export of onion will be allowed only under Advance Payment terms. It is pertinent to mention here that onion prices in the local market have crossed Rs. 240 per kg. Prices have climbed due to heavy buying by exporters after India restricted onion exports till March 2024. According to retailers, exporters have been lifting even the limited arrival of Iranian and Kabul onion to tap the huge export demand.