<p>Government today decided to lift ban on export of onions after its prices almost crashed in the domestic market, which triggered farmers' protest.<br /><br />The decision to this effect was taken by an Empowered Group of Ministers (EGoM) on Food headed by Finance minister Pranab Mukherjee.<br /><br />The government had banned onion export in the last week of December, 2010 to augment domestic supply and contain rising onion prices, which had touched Rs 70-80 per kg then.<br /><br />The ministers' panel, as a precautionary measure against possibility of price shooting again, decided to allow shipments of onions at a Minimum Export Price (MEP) of USD 600 (About Rs 28,000) per tonne, a senior government official said after the EGom meeting.<br /><br />To dissuade onion exports, the government had raised the MEP from the previous level of USD 525 per tonne to USD 1200 per tonne. Later the exports were completely banned.<br />Prior to the ban, India exported 11.58 lakh tonnes of onions mainly to gulf countries, Sri Lanka and Malaysia during April-November of this fiscal.<br /><br />The EGom met in the absence of Agriculture minister Sharad Pawar, Food minister K V Thomas and Commerce minister Anand Sharma.<br /><br />The meeting was attended by Defence minister A K Antony, Home minister P Chidambaram and Deputy Chairman of Planning Commission Montek Singh Ahluwalia.<br />Government's decisive steps against hoarders and arrival of fresh crop reversed the situation within 45-50 days with prices of onions declining substantially.<br /><br />Currently prices of the kitchen staple have crashed to Rs 4-12 per kg in the wholesale markets of Nashik, the main onion growing area, which led to agitation by farmers who demanded lifting of ban on its exports.</p>
<p>Government today decided to lift ban on export of onions after its prices almost crashed in the domestic market, which triggered farmers' protest.<br /><br />The decision to this effect was taken by an Empowered Group of Ministers (EGoM) on Food headed by Finance minister Pranab Mukherjee.<br /><br />The government had banned onion export in the last week of December, 2010 to augment domestic supply and contain rising onion prices, which had touched Rs 70-80 per kg then.<br /><br />The ministers' panel, as a precautionary measure against possibility of price shooting again, decided to allow shipments of onions at a Minimum Export Price (MEP) of USD 600 (About Rs 28,000) per tonne, a senior government official said after the EGom meeting.<br /><br />To dissuade onion exports, the government had raised the MEP from the previous level of USD 525 per tonne to USD 1200 per tonne. Later the exports were completely banned.<br />Prior to the ban, India exported 11.58 lakh tonnes of onions mainly to gulf countries, Sri Lanka and Malaysia during April-November of this fiscal.<br /><br />The EGom met in the absence of Agriculture minister Sharad Pawar, Food minister K V Thomas and Commerce minister Anand Sharma.<br /><br />The meeting was attended by Defence minister A K Antony, Home minister P Chidambaram and Deputy Chairman of Planning Commission Montek Singh Ahluwalia.<br />Government's decisive steps against hoarders and arrival of fresh crop reversed the situation within 45-50 days with prices of onions declining substantially.<br /><br />Currently prices of the kitchen staple have crashed to Rs 4-12 per kg in the wholesale markets of Nashik, the main onion growing area, which led to agitation by farmers who demanded lifting of ban on its exports.</p>