Farmers in Maharashtra's Ahmednagar halt onion auction to protest 40 per cent export duty

File Photo/PTI

Farmers in Maharashtra's Ahmednagar district took a stand on Sunday by suspending the auction of onions. This protest was in response to the recent decision by the Central government to impose a 40 percent duty on the export of onions, a staple in kitchens. The halt in the auction was observed in the Rahuri tehsil's wholesale market.

The Central government's move, implemented on Saturday, introduced the 40 percent duty on onion exports until December 31, 2023. This decision aimed to boost the availability of onions in the domestic market, especially in light of indications of rising prices.

Sandeep Jagtap, the state president of Swabhimani Shetkari Sanghatna, expressed discontent with what he described as the Union government's anti-farmer stance. He noted that Maharashtra's farmers were anticipating favorable returns from exporting onions, but the imposition of the duty has essentially eliminated this possibility. He emphasized that this would lead to a drop in domestic market prices, resulting in financial losses for farmers.

Jagtap also criticized the government for prioritizing consumers' interests over those of the farmers. He highlighted the challenge of insufficient rainfall in various parts of Maharashtra, which is likely to delay the arrival of fresh onions in the market. Jagtap accused the government of favoring consumers while neglecting the farmers' interests.

In response, he announced plans for protests to be held in wholesale markets across the state, intended to exert pressure on the Union government.

A group of farmers in Rahuri tehsil, Ahmednagar district, specifically halted the onion auction in the wholesale market to draw attention to their concerns. A protesting farmer from Rahuri emphasized that the export duty has sent a message to traders that all available onions will be directed to the domestic market. This perception has prompted traders to offer lower prices for the produce.

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According to reports from the Lasalgaon Agriculture Produce Market Committee, which is the largest wholesale onion market in Asia, the prices of onions experienced a nearly 45 percent increase last week. This surge saw onion prices rise from Rs 1,500 per quintal two weeks ago to Rs 2,200 in just a week's time. However, due to the challenges posed by the near impossibility of exporting onions, the rates are now starting to decline, according to a trader from Lasalgaon APMC.