Who: Minimum Export Price of onions
What: Slashed to 400 dollar per tonne
When: 10 December 2015
Union Government on 10 December 2015 slashed the Minimum Export Price (MEP) of onions to 400 US dollars per tonne from 700 dollars a tonne. The decision to slash the MEP on Onions was taken at a meeting chaired by Finance Minister Arun Jaitley.
MEP is the rate below which no traders are allowed to export their goods. The rise in MEP restricts exports and improves domestic supply.
Earlier on 23 August 2015, the MEP on onions were hiked to 700 dollars per tonne, as prices at both wholesale and retail levels were skyrocketing on lower output due to unseasonal rainfall.
However, earlier in first week of December 2015, Maharashtra government asked the Union Government to slash the MEP for onions to help boost overseas shipments after its wholesale prices went down to the 10 rupees per kg level.