Last Updated: August 19, 2023, 19:54 IST
Issuing a notification, the Union Finance Ministry ordered the imposition of a 40 per cent export duty on onions till December 31, 2023. (File photo/News18)
Onion Price Hike: On August 11, the government announced it will release onion from its buffer stock in the targeted regions with immediate effect to ensure prices remain under check till the new crop arrives from October onwards
The Central government on Saturday imposed a 40 per cent duty on the export of onions to check the surge in price and improve its availability in the domestic market. Issuing a notification, the Union Finance Ministry ordered the imposition of a 40 per cent export duty on onions till December 31, 2023.
The export duty comes amid reports that onion prices are likely to rise in September.
On August 11, the government announced it will release onion from its buffer stock in the targeted regions with immediate effect to ensure prices remain under check till the new crop arrives from October onwards.
The government is exploring multiple options for disposal of onion: e-auction, e-commerce as well as through states at discounted rates via retail outlets of their consumer cooperatives and corporations, it had said.
The government has currently maintained 3 lakh tonnes of onion under the Price Stabilisation Fund (PSF) to meet any exigencies, if rates go up significantly during the lean supply season.
As per the government data, onion prices have started inching up slightly as all-India retail price of the key kitchen staple was available at Rs 27.90 per kilogramme on August 10, higher by a little over Rs 2 per kg in the year-ago period.
In current year, a total of three lakh metric tonnes of onion has been procured for the buffer, which could be enhanced further, if situation demands, it had added.
NAFED and NCCF had procured 1.50 lakh tonnes each of rabi onion during June and July from Maharashtra and Madhya Pradesh.
Rabi onion harvested during April-June accounts for 65 per cent of India’s onion production and meets consumers’ demand till the kharif crop is harvested in October-November.
(with inputs from PTI)
