The Indian government has notified a Minimum Export Price of 800 U.S. dollars per ton on onion exports to contain soaring prices in the domestic market, officials said Sunday.
The step has also been taken to maintain availability of onions in the domestic market.
According to the federal ministry of consumer affairs, food and public distribution, the notification will take effect on Sunday and remain in force until Dec. 31.
Along with the decision, the government has also announced the procurement of additional 200,000 tons of onion for the buffer, and above 500,000 tons have already been procured, the ministry said.
Reports said onion prices have increased by more than 50 percent in the past two weeks in India.