Govt Removes Export Duty on Onions, Boosting Farmers' Income and Global Reach

Minister Chouhan highlighted that this decision underscores the Modi government's proactive and responsive approach towards the agriculture sector.

Union Agriculture and Farmers' Welfare Minister Shri Shivraj Singh Chouhan emphasized today that the Modi government remains steadfast in its commitment to farmers' welfare and economic prosperity. Recognizing the critical importance of securing fair and remunerative prices for agricultural produce, the government has fully removed the export duty on onions, aiming to significantly benefit farmers nationwide.

Earlier, the government imposed a 40% export duty on onions to ensure domestic supply and price stability. However, recent trends indicated a decline in onion prices, adversely impacting farmers' earnings and market opportunities. Responding swiftly to protect farmers' livelihoods and stabilize market conditions, the government initially reduced the export duty from 40% to 20%. Upon continued assessment, recognizing the ongoing challenges faced by farmers due to falling prices, the government today announced the complete removal of the 20% export duty.

Minister Chouhan highlighted that this decision underscores the Modi government's proactive and responsive approach towards the agriculture sector. By eliminating export duty entirely, onion producers can now freely and competitively access international markets without financial barriers, significantly enhancing their revenue potential. The decision also aims to provide farmers with immediate relief, expand their market options, and secure better and more sustainable prices globally.

The removal of the export duty is expected to rejuvenate India's onion trade, increasing competitiveness and export volumes. With duty-free access, Indian onions can now reach broader international markets, positively impacting the overall agricultural economy. Shri Chouhan reaffirmed that the government's policies are continually evolving to adapt to farmers' needs, ensuring agricultural prosperity and economic resilience.

Farmers' organizations and agricultural trade bodies have welcomed the government's move, anticipating a positive impact on farmers' income, market stability, and overall agricultural growth. This initiative further solidifies the government's farmer-centric governance model, reinforcing trust and collaboration between farmers and policymakers.