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Government Cuts Minimum Export Price of Onion to $ 250/Tonne.


Date: 09-04-2015
Subject: Government Cuts Minimum Export Price of Onion to $ 250/Tonne
NEW DELHI: The government has slashed the minimum export price (MEP) of onion by USD 50 per tonne to USD 250 per tonne, a move which would help in encouraging exports of the commodity.

"Export of all varieties of onions...will be subject to a MEP of USD 250 per MT (tonne) reduced from MEP of USD 300 per tonne earlier," the Directorate General of Foreign Trade (DGFT) said in a notification.

Earlier the government had imposed the MEP to cool spiralling prices in the domestic market.

The MEP is the rate below which no exports are allowed.

India produces around 17-18 million tonnes of onion a year. The country exported 13.58 lakh tonnes of onion in 2013-14.

Onion exports declined by 21 per cent to over 7.76 lakh tonnes during April-December period of 2014-15 financial year mainly due to price restrictions imposed on outbound shipments.

Onion prices are ruling around Rs 20-30 per kg in retail markets presently.

Source : newindianexpress.com

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