New Delhi, Apr 16 (KNN) Despite ongoing restrictions on onion exports, the Indian government has permitted a limited quantity of the staple vegetable to be exported to the United Arab Emirates (UAE) and Sri Lanka. This move comes at a time when the outward shipments of onions have been kept under tight control.

Through a notification issued late on Monday evening by the Directorate General of Foreign Trade (DGFT), under the Ministry of Commerce and Industry, India has allowed an additional 10,000 metric tons (MT) of onion exports to the UAE, over and above the 24,000 tonnes already permitted.

Additionally, 10,000 tonnes of onions have been approved for export to Sri Lanka, facilitated through the National Cooperative Exports Limited (NCEL).

Earlier in March, the central government had granted permission for the export of 50,000 tonnes of onions to Bangladesh.

However, the broader ban on onion exports has been extended until further notice by the government. Initially, in early December 2023, India had prohibited the export of onions until March 2024.

The DGFT notification clarified that onion exports will only be allowed based on specific permissions granted by the central government to other countries upon their request.

The government's decision to allow limited onion exports to the UAE and Sri Lanka amidst the broader restrictions is aimed at balancing the domestic supply and demand while catering to the needs of specific trade partners.

In August 2023, the government had imposed a 40 percent duty on onion exports to check price rises and improve supplies in the domestic market until December 31, 2023.

Furthermore, a Minimum Export Price (MEP) of USD 800 per tonne on a free-on-board basis was set for onion exports, effective from October 29, 2023.

(KNN Bureau)