Government bans export of onions with immediate affect amid price rise

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Updated: Sep 29, 2019 2:40 PM

The government has decided to ban the export of all varieties of onions with immediate effect amid rising prices, according to a statement by the Ministry of Commerce and Industry.

Onions prices have been rising due to supply disruption caused by floods in major onion producing states including Maharashtra and Karnataka.

With retail prices of onion soaring to reportedly up to 80 per kg in Delhi and few other areas in the country due to supply disruption caused by floods in major onion producing states including Maharashtra and Karnataka, the government has decided to ban the export of all varieties of onions with immediate effect amid rising prices, Ministry of Commerce and Industry said in a statement. “Export policy of onion for the item description at Serial Number 51 & 52 of Chapter 7 of Schedule 2 of (ITC) (HS) classification of Export & Import Items is amended from free to prohibited till further orders,” the notification read.

According to the Price Monitoring Cell of Department of Consumer Affairs, per kilogram retail price of onion reported by the Cell in Delhi on Sunday was Rs 58, Rs 59 in Mumbai, Rs 60 in Gurugram, Rs 50 in Amritsar, and Rs 60 in Bhopal. Prices for other major cities weren’t reported. Cheapest price was reported in Rampurhat (West Bengal) at Rs 25 while Itanagar’s (Arunachal Pradesh) retail price for onion was highest at Rs 75.

Also read: Arvind Kejriwal flags off 70 mobile vans to sell onions at Rs 23.90 per kg

To curb the situation, Delhi Chief Minister Arvind Kejriwal on Saturday had announced 70 mobile vans to sell onions at Rs 23.90 per kilogram in Delhi, PTI reported. The government will also sell onions at 400 ration shops across Delhi. “Flagged off 70 mobile vans from the Delhi Secretariat that are being stationed in 70 Assembly constituencies for sale of onion at Rs 23.90 per kg. In addition, 400 fair price shops have also begun the supply of affordable onion. We expect the market price of onion to reduce soon,” Kejriwal had tweeted on Saturday.

State-owned company Mother Dairy said it has sold 5,000 tonnes onions so far at Rs 23.90 per kg in the national capital region and is looking to boost the supply to help consumers avoid long queues to buy onions at a cheaper rate, PTI reported citing its top official.

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