The government of India has withdrawn 20% duty on onion export, effective from April 1, 2025.
A notification to this effect was issued on Saturday by the Department of Revenue on the communication of Department of Consumer Affairs, India.
To ensure domestic availability, the government had taken measures to check export by means of duty, minimum export price (MEP) and even to the extent of export prohibition for almost five months, from 8th December, 2023 till 3rd May, 2024.
The export duty of 20% which now stands removed has been in place from 13th September, 2024, according to the Indian Ministry of Consumer Affairs, Food & Public Distribution.
Despite export restriction, the total onion export during FY 2023-24 was 17.17 LMT and FY 2024-25 (till 18th March) was 11.65 LMT.
Monthly onion export quantity had picked up from 0.72 LMT in September, 2024 to 1.85 LMT in January, 2025.
The decision stands as another testament to the government's commitment to ensuring remunerative prices to farmers while maintaining affordability of onion to the consumers at this crucial juncture when both mandi and retail prices have soften following expected arrival of rabi crops in good quantities, said the Ministry.
Even though, the current mandi prices are above the level during corresponding period of previous years, a decline of 39% is observed in the all-India weighted average modal prices.
Similarly, all-India average retail prices recorded declined of 10% over the past one month.
Onion arrival in benchmark markets Lasalgoan and Pimpalgaon have increased from this month which drive prices downward. �"UNB
