The farmers in Maharashtra have taken to the streets to protest against central government's decision to impose an export duty on onions. The protests have reached a boiling point in Nashik, which is a major onion-producing region.
Today, August 21, the farmers there have halted onion auctions at all market committees including Lasalgaon, the biggest wholesale onion market in India. This has disrupted the onion supply chain. Additionally, they've blocked the Shirdi-Surat Highway.
Moreover, according to the sources, the APMC market in Mumbai also did not hold onion auctions due to the decision. On Sunday, August 20, farmers in Maharashtra's Ahmednagar district stopped auctioning onions to protest the centre's decision.
On Saturday, August 19, the government announced a 40% export duty on onions until December 31 December 2023. The decision is aimed at balancing onion prices during the holiday season. But farmers have complained that this is causing them financial difficulties due to both high export duties and low domestic prices.
The farmers' primary request is that the government reconsider its decision. They want the government to actively engage in purchasing onions from them to help regulate domestic market prices.
Expressing solidarity with the protesting farmers, Maharashtra's Agricultural Minister, Dhananjay Munde, has criticised the export duty. He has labelled it unjustifiable and unfair to the farming community.
In an effort to resolve the crisis, Munde is scheduled to meet with Union Commerce Minister Piyush Goyal and Union Agriculture Minister Narendra Singh Tomar in Delhi on Tuesday, August 22.
The central government's decision to impose the export duty on onions is seen as a preventive measure to avoid a spike in onion prices ahead of the holiday season. However, there is no outright export ban on onions.
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