NCP's Sharad Pawar opposes Onion export ban in note to Piyush Goyal; adds 'Pak will gain'

Responding to the onion export ban announced by the Centre, NCP supremo Sharad Pawar on Tuesday said that he has spoken to Union Commerce Minister Piyush Goyal and urged him to rethink the decision. Taking to Twitter, Sharad Pawar said that he has explained the situation of onion growers in Maharashtra to the Union Minister and has highlighted how other countries like Pakistan who export onion will benefit from this ban. 

"Centre has suddenly announced a ban on onion exports. Various political parties contacted me last night and I informed their reaction to Union Minister Piyush Goyal and have urged him to rethink on banning export of onion," NCP supremo said in a series of tweets. He also added: "Pakistan and other onion exporters will benefit immensely from this sudden ban."

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READ | Government Of India Bans Export Of All Varieties Of Onions With Immediate Effect

Onion ban

The Government on Monday banned the export of all kinds of onion with immediate effect. The decision comes at a time the prices of onions in domestic retail markets are soaring due to a shortage of supply. According to traders, heavy rains and flooding in the Nashik region of Maharashtra have affected the supply of onions.

In its order, the Ministry of Commerce and Industry said that the export of all varieties on onions has been prohibited with immediate effect. This includes onions cut, sliced, or broken in powder form. "The export of all varieties of onions... is prohibited with immediate effect," the Directorate General of Foreign Trade (DGFT) said in a notification. The DGFT, an arm of the commerce ministry, deals with exports and imports-related issues. The provisions under transitional arrangement shall not be applicable under this notification. In the national capital, onion prices are currently ruling at around Rs 40 per kilogram.

In a similar order last year in September, the Government of India prohibited the export of all varieties of onions with immediate effect. The government had also imposed stock limits on traders. Retail onion prices had skyrocketed in Delhi and other parts of the country due to supply disruption from flood-affected growing states like Maharashtra. Onion production is estimated to have declined by around 25 per cent in the Kharif and late Kharif seasons of 2019-20 crop year compared to the previous year due to late monsoon and then excess rains in the major producing states.

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