India yesterday decided to lift the ban on onion export to protect the interests of its farmers as prices in the domestic market are expected to fall sharply thanks to the bumper rabi crop.
The decision was understood to have been taken at a meeting of a group of ministers headed by Indian Home Minister Amit Shah.
Food Minister Ram Vilas Paswan in a tweet said the expected monthly harvest in March was over 40 lakh metric tonnes.
The decision would be effective once the Directorate General of Foreign Trade (DGFT) issues a notification in this regard.
The government banned onion exports in September last year in a move that came after onion prices had started skyrocketing due to an imbalance between the supply and demand.
Bangladesh imports onions from India and Prime Minister Sheikh Hasina expressed disappointment over India's decision to ban onion export which resulted in a spiralling price of the essential cooking ingredient in Bangladesh.