Government notifies Minimum Export Price (MEP) of USD 800 per Metric Ton on onion export to maintain domestic availability
Govt to procure additional 2 lakh tons of onion for the buffer, over and above the 5 lakh tons already procured
Continuous procurement and disposal of onion from the buffer undertaken to moderate the prices and ensure remunerative prices to the farmers
Government has notified Minimum Export Price (MEP) of USD 800 per Metric Ton, FOB basis, on onion export with effect from 29th October, 2023, till 31st December, 2023. The measure has been taken to maintain sufficient availability of onion to domestic consumers at affordable prices as the quantity of stored rabi 2023 onion is declining by curbing the quantity of onion exports. The MEP of USD 800 per MT translates into about Rs.67/kg.
Along with the decision to impose MEP on onion exports, the Government has also announced the procurement of additional 2 lakh tons of onion for the buffer, over and above the 5 lakh tons already procured. Onion from the buffer has been disposed continuously from the second week of August in major consumption centres all over the country, and also supplied to retail consumers at Rs.25/kg through mobile vans operated by NCCF and NAFED. Till date about 1.70 lakh Metric Tons of onion has been disposed from the buffer. The continuous procurement and disposal of onion from the buffer are undertaken to moderate the prices for consumers while ensuring remunerative prices to the onion farmers.
The decision to impose the MEP of USD 800 per MT shows the determination of the Government to keep onion affordable to the domestic consumers.