The government has removed a fee of 20 percent from onion exports, and farmers have long demanded
The Government of India has withdrawn 20 per cent fee on onion exports. This order of the center applies from April 1, 2025. On the communication of the consumer affairs department, the Revenue Department has issued a notification today. For a long time, the farmers have been demanding that it be removed, and then the government has now decided on it. Recently, over the past few weeks, the government of many parts, including Maharashtra, has been facing opposition to businessmen and exporters from farmers. The onion price in India is a problem that brings tears to the ruling party. Last year, in the Lok Sabha elections in Maharashtra, the ruling NDA government suffered a loss of many seats due to the dissatisfaction of onion farmers.
40 percent of the fee spent in May last year
In May last year, the central government imposed a copy of 40 onion exports, but in September 2024, it was reduced to 20 percent and has been exported to this fee since then, due to fee, Indian onions have not been able to compete in the global market due to the cheap onion. It is believed that the government has reduced the export fee from the onion in view of the Maharashtra elections.
Onion prices fall due to bumper production
At the same time, according to data released by the Union Agriculture and Farmers’ Welfare Ministry in relation to onion acres and the recent assessment of the production, there is a huge bounce in onion this year. In addition to Maharashtra, many other states have also increased. Therefore, the bumper product is estimated this time. The arrival of onion in the domestic mandis has already increased, so prices are seen in a huge fall. For this reason, farmers are experiencing losses or not getting as much returns by selling products.
11.65 LMT onion exported by March 18
Despite the export ban, the government said in its statement that the total onion exports were 17.17 LMT and FY 2024-25 (March 18) in the fiscal year 2023-24. The monthly onion export size increased from 0.72 LMT to 1.85 LM in September 2024 in January 2025.
227 LMT onion estimates
According to the Department of Agriculture and Farmers’ Welfare, this year’s Rabi onion production of 227 lakh metric tonnes (LMT), which was 18 percent more than 192 LMT. Rabi onion contributes 70-75% to India’s total onion production, which is important for the stability of the total availability and prices from October/November to October/November. Market prices are expected to further lower in the coming months this season.
According to government data, the arrival of onion in the benchmark market has increased from Lasalgaon and Pimplegaon this month, leading to a decline in prices. On 21 March 2025, model prices in Lasalgaon and Pimplegaon were 1330 per quintal and Rs 1325 per quintal. Although current market prices are higher than the previous years, the average model prices of all India have shown 39%. Similarly, in the last one month, the average retail prices of All India fell by 10%.
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