Ajit Pawar urged the Center to scrap the 20% onion export duty, citing the plight of farmers

Image for representation. | Photo credit: PTI

Maharashtra Deputy Chief Minister Ajit Pawar on Thursday asked the Narendra Modi-led central government to scrap the 20% export duty on onions, citing the financial crisis faced by farmers.

In a letter to Union Commerce Minister Piyush Goyal, Mr. Pawar detailed the challenges faced by onion growers in the major production hub, Nashik, where falling prices are compounding their woes. It is said that the farmers are selling onions at an average price of Rs 2,400 per quintal which is much lower than the cost of production. On Thursday, farmers briefly halted the auction of the main kitchen staple in Nashik district at Lasalgaon APMC, Asia’s largest wholesale market, due to falling prices.

“Unseasonal rains and climate change have already affected onion farmers badly. Without minimum support price and burdened with export duty, they are now forced to sell at a loss,” Mr. Pawar said in the letter.

Mr. Pawar, whose Nationalist Congress Party is an ally in the BJP-led Mahayuti coalition government in Maharashtra, noted that Nashik’s onions are valued domestically and internationally. However, the Centre’s export tariffs have made them less competitive in global markets, exacerbating the crisis.

He urged the Center to abolish export duty to enable farmers to get fair prices and recover their losses.

The appeal comes as the winter session of Maharashtra’s state legislature in Nagpur, where the issue of onion farmers is expected to dominate discussions.

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