Onion export price rose by $25 a tonne

Tag: Dehydrated Onion

NEW DELHI: Cooperative major Nafed has decided to increase the minimum export price of onion by $25 a tonne for July to discourage overseas sales and boost domestic availability. The average Minimum Export Price (MEP) now stands at $180-$185 a tonne.

"We have raised the MEP of average quality onion by $25 a tonne for all destinations," a senior official of National Agricultural Cooperative Marketing Federation (Nafed) said on Tuesday.

The cooperative major Nafed is the nodal agency for export of onion and it decides the MEP every month, in consultation with 13 other agencies, taking into account the domestic availability and prices.

Traders said the government has raised the MEP to discourage export as it is facing a high inflation and any increase in onion prices in the domestic market would create problems for it.

The Nafed official, however, said that prices have improved in the country, and there was no need to further hike the rates.
"As the summer crop has been exhausted, prices of onion have increased. It is likeley to be stable for the next three months," he said.

The new rates are applicable for the July shipment, the Nafed official said.
After the revision, the onion MEP (Cost and Freight) now stands at $180 a tonne for 'break bulk' category and $185 a tonne in container shipment for destinations like Dubai and Sharjah.