The Modi Government has decided to allow the export of onions from March 15 as the onion wholesale prices at the country’s largest market at Lasalgaon Agriculture Produce Market Committee (APMC) crashed to Rs 1200 per quintal, down fromRs 1900-2100 per quintal, due to increase in supply of the bulb.
After a bumper crop, onion prices have stabilised. Presently, onion is being sold at Rs 25-30 a kg depending on the quality and locality of the areas.
According to Ministry of Agriculture, onion prices increased by Rs 300 per quintal on an average at Lasalgaon APMC after reports came in, on February 27, that a ban on its exports had been lifted by the Centre. However, a notification on the lifting of the export ban is yet to arrive, leading to fall in prices, which resulted in protests and agitations by farmers. Onions were auctioned at Rs 700 minimum, Rs 1,200 maximum per quintal at Agricultural Produce Market Committee (APMC) Lasalgaon,” officials said. On Monday, onion’s minimum price was recorded Rs 400 per quintal while the maximum rate was of Rs 1200 per quintal.
The fall in prices led to angry members of Maharashtra Onion Growers’ Association and APMC farmers stopping auctions.
Officials said that farmers have held protests in Lasalgaon, Dewla, Pimpalgaon, Yeola and Andersul district in Maharashtra on Monday. Currently, the arrival of rabi (winter) crop of onion has begun in small quantities and would increase from mid-March onwards.
In a tweet, Union Commerce and Industry Minister Piyush Goyal said that the Government will allow export of onions from March 15 in the interest of farmers. The decision will help boost the income of farmers, the Minister said in a tweet.
The Government last week decided to lift nearly six-month-old ban on export of onions as prices are likely to fall sharply due to bumper rabi crop. The ban was imposed after the prices of the commodity skyrocketed.
Expected monthly harvest in March is over 40 lakh MT compared to 28.4 lakh MT last year, Food Minister Ram Vilas Paswan had tweeted on Wednesday.
In September 2019, the Government banned onion exports and also imposed a MEP of USD 850 per tonne. The move came after prices started skyrocketing due to supply-demand mismatch. There was shortage of onion as kharif crop was adversely affected due to excess rains and floods in key producing states, including Maharashtra.