Govt increases MEIS incentive for onions to 10%

Central government today increased the incentives given under Merchandise Exports from India Scheme (MEIS) from 5% to 10% to boost domestic prices.

Onion prices have been ruling at highly unremunerative levels for the growers for a prolonged period, as the stored stock of previous season hasn’t got over yet. It has led to wide scale resentment among farmers, who had been protesting using innovative methods.

Wholesale rates of onions had touched as low as Rs 1/kg.


“The new crop is also in good condition” said Jayadatta Holkar, chairman, Lasalgaon APMC.

A delegation representing various stake holders onion trade had met union cabinet minister Nitin Gadkari in the national capital on December 28 requesting increase in MEIS incentives.

The decision is expected to boost domestic prices by increasing exports, which are already continuing in full swing as Indian onion is available at competitive price.