MUMBAI: Prices of Onion zoomed more than 30% over the weekend in Maharashtra after the Centre lifted export restrictions on the commodity on the day after the Budget. The decision is expected to help support prices, which are expected to come under pressure from March as harvesting of bumper rabi crop begins. India had curbed Onion exports by imposing a minimum export price (MEP) of $850 per tonne in November. This was reduced to $700 per tonne in January and was to remain in effect till February 20.
In Budget speech on February 1, however, Finance Minister promised to liberalise agriculture exports.
"India's agri exports potential is as high as $100 billion against current exports of $30 billion. To realise this potential, export of agri commodities will be liberalised," he said. The Government announced removal of MEP the next day.