Government relaxes onion import regulations to boost national supply and check prices


In a move to boost domestic supply and moderate prices, the central government relaxed onion import regulations on Wednesday. He also stated that he will unload more onions from reserve stock in the coming days to check prices.

“To facilitate the importation of onion, on 10/21/2020 the government relaxed the conditions for fumigation and the additional declaration on the Phytosanitary Certificate under the 2003 Plant Quarantine Order for import until December 15, 2020”, stated the government.

India’s High Commissions have been instructed by relevant countries to contact traders to push for further onion imports into the country.

The government also said that such shipments of imported onions arriving at the Indian port without fumigation and without the endorsement to that effect in the PSC would be fumigated in India by the importer through a reputable treatment provider.

If stem and bulb nematode (Ditylenchus Dipsaci) or onion worm (Hylimia antiqua) is detected, it will be fumigated and shipments will be released without additional inspection fee.

“A commitment will be obtained from importers that the onion will be used only for consumption and not for propagation. Such consignments of onions for consumption will not be subject to an additional inspection fee four times higher for non-compliance with import conditions under Order PQ, 2003, “the statement read.

On unloading more onions from buffer stocks, the government said that on September 14, it took a precautionary measure by announcing a ban on the export of onions to ensure availability to domestic consumers at reasonable rates during the lean season before of the arrival of the Kharif onion. . While the pace at which retail prices rise has moderated somewhat, recent episodes of heavy rains in major producing districts of Maharashtra, Karnataka and Madhya Pradesh have caused damage to Kharif’s standing crop, onion stored and seed nurseries. These events on the weather front have led to a sharp rise in onion prices.

The government has accumulated buffer stocks of onion from the Rabi onion – 2020. In order to moderate prices, the onion from buffer stocks is released in a calibrated manner from the second half of September 2020 to the main mandis, to retail providers such as Safal, Kendriya Bhandar and NCCF and also to state governments. More will be done in the coming days.

An estimated 37 LMT Kharif harvest is also likely to start arriving in the mandi, alleviating rising prices.

The retail price of onion has increased markedly since the end of August 2020, although the price level was below last year until October 18. A sharp increase in onion prices in the last 10 days by 11.56 per kilo has brought the retail price of onions across India to 51.95 per kilo, 12.13% higher than last year’s price of 46.33 per kg, he stated.

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