Government Lifts Minimum Export Price on Onions to Boost Farmer Incomes

Union Home Minister Amit Shah announced the removal of the minimum export price on onions. The decision aims to increase exports and ensure fair pricing for farmers. Additional measures include reducing the export duty on onions and increasing import duties on crude and refined oils to benefit local farmers.

Union Home Minister Amit Shah has announced the central government's decision to lift the minimum export price (MEP) on onions. Shah emphasized that this move aims to boost exports and ensure that farmers receive fair prices for their crops. His announcement was made in a post on X, where he reiterated the government's commitment to the welfare of farmers under Prime Minister Narendra Modi's leadership.

In a detailed statement, Shah outlined additional measures taken by the Modi government to benefit farmers. These include reducing export duties on onions from 40% to 20% and removing the MEP on Basmati rice, enabling farmers to earn higher profits from exports. Furthermore, import duties on crude palm, soybean, and sunflower oils will be increased from 12.5% to 32.5%, while refined oils will see a duty hike from 13.75% to 35.75%. These changes aim to ensure better pricing for Indian soybean farmers and boost their incomes.

The Ministry of Commerce and Industry corroborated Shah's announcement, stating that the MEP condition on onion exports is removed with immediate effect. The decision follows strong kharif crop production and favorable monsoon conditions, coupled with stable market and retail scenarios. This policy shift comes after the government had previously adjusted onion export restrictions earlier in the year on May 4, 2024.

(With inputs from agencies.)