The Indian government has lifted the ban on onion exports with certain conditions, including a 40% export duty and a minimum export price (MEP) of USD 550 per tonne. This decision was made after receiving approval from the Election Commission, despite the implementation of the Model Code of Conduct due to the Lok Sabha elections. The government aims to balance the interests of both consumers and farmers, with the MEP set at USD 550 per tonne and an effective minimum price of USD 770 per tonne after the export duty. The decision was based on recommendations from the Department of Consumer Affairs, and the government assures that the lifting of the ban will not lead to price increases in retail markets. India has consistently exported between 17 lakh and 25 lakh tonnes of onions annually, and the ban was imposed last December to control soaring retail prices. The decision to lift the ban reflects a proactive approach to agricultural planning and market readiness, showcasing the government’s support for the agricultural sector while ensuring market stability.
