Onion prices in wholesale markets had reached an all-time low in last few weeks. MSAMB chairman and state Marketing and Textiles minister Dr Jaiprakash Mundada today said that with the NOCs, over 13,000 tonnes of onions will be exported from Maharashtra in the next few days. Mundada said more NOCs will be issued on demand, which will promote onion export. However, he said the move will not affect onion prices in the domestic market.

The MSAMB has opened centres -- one each in Mumbai and Pune -- to issue NOCs. Mundada added the MSAMB has fixed the export price of onion at about $ 15 more than prices at the national level. This is expected to earn the State's farmers about Rs 650 more, Mundada pointed out.

The Union Governmenthad imposed a ban on export of onions last year after prices of the crop soared. Onion prices had increased following complete destruction of the crop statewide due to untimely rains. The state had to import onions from countries like Iran to fulfill the demand in the domestic market. The onions were also distributed through the public distribution system.

However, the new crop has been exceptional, with high yields. Truckloads of onions flooded the markets in Maharashtra, especially Nashik and Pune. This resulted in onion prices nose-diving and affected traders and farmers equally. Traders had stalled deals in onion markets in protest against the government not lifting the ban on export, as a result of which farmers had to sell the produce at throw-away prices.