Government Scraps Minimum Price Thresholds to Boost Exports of Onion and Basmati Rice

The government has scrapped the minimum price thresholds for onion and basmati rice to boost exports and enhance farmers' income. Also, the export duty on onion has been halved to 20%. These measures come ahead of assembly elections in Maharashtra and Haryana. Commerce Minister Piyush Goyal said the move will help farmers.

The government has scrapped the minimum price thresholds for onion and basmati rice, aiming to boost exports and increase farmers' income. Effective September 14, the export duty on onion has been cut to 20% from 40%, which had been in place since May. These decisions are timely, coinciding with upcoming assembly elections in Maharashtra and Haryana.

Commerce and Industry Minister Piyush Goyal emphasized that the removal of the Minimum Export Price (MEP) for onion and basmati rice, along with the duty cut, is expected to significantly boost exports and aid farmers financially. The APEDA has been instructed to enforce and closely monitor the new regulations.

Onion exports saw significant changes, with the MEP removed despite high retail prices. It's anticipated that these changes will stabilize the market and contribute positively to the agricultural sector amidst the election season.

(With inputs from agencies.)