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Government Abolished Import Duty on Onions

Indian government on 22 December 2010 abolished import duty on onions to facilitate cheaper imports.

Dec 24, 2010 17:21 IST
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The government on 22 December 2010 abolished import duty on onions to facilitate cheaper imports by private traders. Onion imports in the country before the sudden rise of the prices were subjected to five per cent import duty coupled with four per cent countervailing duty. The government measure was adopted in the wake of the rising prices that reached Rs 80 per kg. To counter the sudden and unexpected rise in prices of onions, the government converted suspension on export till 15 January 2011 as a permanent ban on exports ‘till further orders’.  The Central government also asked state governments to facilitate unrestricted movement of onions across domestic markets ensuring that mandis are kept open to facilitate supply.