New Delhi: The Centre has taken permission from the Election Commission to lift the ban on exports of onion in view of the ongoing implementation of the Model Code of Conduct due to the Lok Sabha elections, sources said.
According to government sources, the Department of Revenue under the finance ministry took the permission from the Election Commission to lift the ban on onion exports, subject to conditions of 40 per cent export duty, and also a minimum export price (MEP) of $550 per tonne. The government on Saturday lifted the ban on onion exports, a decision that can help boost income of a large section of farmers and comes ahead of the Lok Sabha polls in key producing regions including Maharashtra.
The government has imposed a minimum export price (MEP) of $550 per tonne (around Rs 46 per kg) as well as 40 per cent export duty. Taking duty into account, the shipments will not be allowed below $770 per tonne (around Rs 64 per kg). The decision to lift the ban on exports of onion was on the recommendation of the Department of Consumer Affairs, which monitors the availability and price situation of onion in the country.