Indian govt imposes minimum export price of $300 per tonne on onion

New Delhi, June 18 (PTI): Indian government Tuesday imposed a minimum export price of USD 300 per tonne on onion to curb their exports and help cool spiralling domestic prices.  Onion prices have risen to about Rs 25-30 per kg in the national capital from Rs 15-20 per kg a fortnight ago.  The Minimum Export Price (MEP), the rate below which no exports are allowed, has been re-introduced barely 3 months after the previous government in March had abolished it.  Export of all onion varieties will be subject to MEP of USD 300 per tonne, Commerce Ministry said in a notification.  "The Commerce Ministry has imposed a minimum export price (MEP) of USD 300 per tonne on onions to curb exports," Consumer Affairs Secretary Keshav Desiraju told PTI after a meeting on 'measures taken to tackle food inflation' at PMO.  Rising prices of essential food items like vegetables, fruits and cereals, pushed up wholesale price index based inflation to five-month high of 6.01 per cent in May.  Stating that country exports on an average 15 lakh tonnes of onions a year, he said: "The MEP is expected to have some impact on increasing domestic supply and check rising prices".  Desiraju said the Consumer Affairs department, which monitors both retail and wholesale prices of food items, has flagged concern about price rise in onion to concerned departments and suggested urgent measures to check prices.