India Exports 2.60 Lakh Tons of Onions as Export Ban Lifts

By July 2024, India exported 2.60 lakh tons of onions after lifting the ban in May, as reported in Parliament. Export with minimum export price and duty has led to higher income. A buffer stock ensures price stabilization. Favorable conditions promise steady prices and ample supply.

In a parliamentary address on Wednesday, the government announced that India had exported a total of 2.60 lakh tons of onions by the end of July 2024, following the lifting of an export ban in May. The export is permitted with a minimum export price of USD 550 per metric ton and an export duty of 40 percent.

'Till July 31, 2024, a total quantity of 2.60 lakh tons of onion had been exported in the current financial year 2024-25,' stated Union Minister of State for Consumer Affairs, BL Verma, in a written response to the Lok Sabha. Verma added that the government procured 4.68 lakh tons of onions, mainly from Maharashtra, to maintain a price stabilization buffer through NCCF and NAFED.

This buffer stock aims to stabilize prices during lean supply seasons. Onion prices for farmers have significantly increased compared to last year, with monthly prices in Maharashtra ranging from Rs.1,230 to Rs.2,578 per quintal between April and July 2024. The current year's buffer procurement price also saw a 64 percent increase. The lifted ban is expected to boost India's onion trade, contributing to economic stability and ensuring steady supply and prices for both domestic and export markets.