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LATEST NEWS UPDATES | Centre lifts ban on onion export following farmers' protest

Centre lifts ban on onion export following farmers' protest

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published Published on Sep 21, 2011   modified Modified on Sep 21, 2011

-The Hindu

 

Faced with strong protests from farmers and a demand from the Maharashtra government, the Centre on Tuesday announced the lifting of the ban on export of onions with immediate effect.

The decision was taken by the Empowered Group of Ministers (EGoM) on Food headed by Finance Minister Pranab Mukherjee. “Ban on onion export has been lifted,'' Union Minister for Science and Technology Vilasrao Deshmukh told journalists after the meeting.

Union Agriculture Minister Sharad Pawar and Union Minister of State for Food and Consumer Affairs K.V. Thomas attended the meeting.

The ban was imposed on September 9 to check the spiralling prices that touched Rs. 25 a kg in retail in Delhi. The Minimum Export Price (MEP) has been fixed at $ 475 a tonne, the same level when the government decided to prohibit onion shipment, Mr. Deshmukh said adding the situation would be reviewed after a fortnight.

While the ban brought down the wholesale prices by Rs. 2-5 a kg in Delhi, the decision triggered protests from farmers in the key producing regions of Maharashtra and Karnataka.

Farmers in Nashik district and Bangalore refused to bring their produce to markets, protesting the drop in their profit level due to the ban.

Commerce Secretary Rahul Khullar said the MEP would be reviewed every fortnight and a close watch would be kept on the domestic arrivals, total exports, overall domestic availability and domestic prices.

The Hindu, 21 September, 2011, http://www.thehindu.com/todays-paper/tp-national/article2471598.ece


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