Onion Export Faces 40% Duty As Government Takes Action

The government on Friday imposed a 40% duty on export of onions. It also exempted duty on the import of desi chana till March 31, 2025.

Besides, it has extended the duty exemption on imports of yellow peas covered by the bill of entry issued on or before Oct. 31, 2024.

In a notification, the finance ministry said the changes would be effective from May 4.

Currently, the export of onion is banned. However, the government allows shipments to India's friendly nations. It has permitted a specified quantity of onion exports to UAE and Bangladesh.

In August last year, India had imposed a 40% export duty on onions up to Dec. 31, 2023.