Hard-working labourers unload onion bags at the bustling market in Puducherry on Tuesday.
| Photo Credit: KUMAR SS
The government on May 4 lifted the ban on onion exports but imposed a minimum export price (MEP) of $550 per tonne.
The decision assumes significance as the commodity is politically sensitive and general elections are going on in the country.
“The export policy of onions is amended from prohibited to free subject to MEP of $550 per metric ton with immediate effect and until further orders,” the directorate general of foreign trade (DGFT) said in a notification.
Last night, the government imposed a 40% duty on the export of onions.
In August last year, India had imposed a 40% export duty on onions up to December 31, 2023.
