The decision was taken by the Empowered Group of Ministers (EGoM) in the face of protests by onion farmers in Maharashtra and Karnataka who had held demonstrations against the ban following a dip in prices.
The Centre had banned onion exports on September 9 as its domestic prices were ruling high.
The EGoM, headed by Finance Minister Pranab Mukherjee, set the minimum export price for onion at $475 per tonne, the same level when the government decided to prohibit the shipment of onion.
“The ban on onion export has been lifted,” Union Minister for Science and Technology Vilasrao Deshmukh told reporters after the meeting here on Tuesday.
Commerce Secretary Rahul Khullar said: “The MEP will be reviewed every fortnight and a close watch would be kept on domestic arrivals, total exports, overall domestic availability and domestic prices.”
The ban on exports had angered the farming community which refused to bring its produce to the markets protesting the drop in their profit level due to the ban on onion export. The farmers’ agitation forced the government to take a fresh look on the ban.
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