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Saturday, August 22, 1998

Cong delegation to PM on onions crisis

EXPRESS NEWS SERVICE  
NASHIK, AUG 21: Three Congress MPs, Madhavrao Patil (Nashik), D S Ahire (Dhule) and M K Anna Patil (Erandol), have left for Delhi with a delegation of 23 onion farmers to protest against the move to ban the export of onions to control rising prices.

The MPs are opposing the Centre's proposed ban, saying it would adversely affect foreign trade. This, in turn, would hurt farmers, who otherwise have little or no chance to earn foreign exchange. Prime Minister A B Vajpayee is said to have granted an appointment to the delegation on Sunday.

To control spiralling onion prices, the Centre yesterday increased the freight-on-board price of consignments, from US $150 to $ 475, to deter exports. A ban is still under consideration.

A Shiv Sena delegation, including Union Environment Minister Suresh Prabhu, recently met Commerce Minister Ramakrishna Hegde to demand a ban on onion exports.

The wholesale price of onions averaged Rs 1,600 per quintal on August 11, which fell marginally to Rs 1,250 on August 18. The average prices rose again on August 20 to Rs 1,475 per quintal. The markets are closed today for the `Pola' (festival of bulls) and will reopen on Monday.

Branch manager of the government-owned National Agricultural Marketing Federation, S M Pillai, said the fresh crop from Gulbarga in Karnataka and Dindigul in Tamil Nadu has arrived in south Maharashtra, augmenting stocks. He said exports are negligible, around 12 tonnes, against the 30 to 35 tonnes exported in August. This, he explained, is due to high prices and the crop's impoverished quality.

The prices are likely to fall marginally and then stabilise for another month, till the arrival of the kharif crop of the `Pol' variety in mid-September.

Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.


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