Business Desk, ETV Bharat: In what seems to be a change of heart, the government on Friday decided to partially lift the onion export ban that was put into effect over a month ago.
The commerce ministry announced that it will allow exports of up to 10,000 metric tonnes of Bangalore rose onions and Krishnapuram onions with immediate effect for the period up to 31 March 2021.
In a tweet on Friday, commerce minister Piyush Goyal said: “Empowering farmers and increasing their income, govt permits export of Bangalore Rose Onions & Krishnapuram Onions of up to 10,000 MT each.”
According to the notification dated 9 October, the onion exports will be allowed only through the Chennai port till 31 March 2021.
Exporters will have to get a certificate from their respective horticulture departments of Karnataka and Andhra Pradesh certifying the item and quantity. They will also have to register at the local Directorate General of Foreign Trade (DGFT) offices which will monitor the exports.
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Notably, after the Centre’s ban on onion exports that came into effect on 15 September, farmers in India’s onion hub Nashik had launched a massive protest against the move. However, the government has not lifted exports for the Nashik variety of onions.
The recent decision concerning just two varieties of onions has come after exporters’ body Federation of Indian Export Organisations (FIEO) urged the commerce ministry last month to lift export ban on Bangalore rose onion as there was very little demand for this variant in the domestic market.
According to reports, annual production of Bangalore rose onion is about 60,000 tonnes per year. About 90% of the produce is shipped to countries such as Malaysia, Thailand, Singapore and Taiwan.
Meanwhile, the Krishnapuram onion variety is usually not used in kitchen due to its size and pungency. The onions are imported by Thailand, Hong Kong, Malaysia, Sri Lanka and Singapore.
