December 22, 2010 10:32 PM

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Govt takes initiatives to bring down soaring prices of Onions

Government has extended the ban on export of Onion and abolished Customs Duty on its imports to bring down the soaring prices. Briefing reporters in New Delhi today, the Commerce Secretary Rahul Khullar said that the heads of the state trading corporations have been asked to look into the availability of Onions.To ensure availability of Onions, the states have been asked to allow free movement of Onions from the mandis.The Consumer Affairs Secretary Rajiv Aggarwal said that states have also been asked to intervene to bring down the prices. He added that the measures already taken by the government have started showing results and the prices of Onion have come down in the wholesale market.These prices, he added, will reflect in the retail market within two days. The Cabinet Secretary Mr. K.M. Chandrashekhar has asked Commerce Ministry to expedite the imports of Onion to bridge the demand and supply gap. He has convened a high-level meeting tomorrow to take stock of the situation.Earlier, in the day, the Finance Secretary Mr. Ashok Chawla said that import duty on Onions has been brought down from five to zero per cent. The Deputy Chairman Planning Commission Montek Singh Ahluwalia has attributed the hike in prices of Onions to weather related problems.The Prime Minister yesterday asked the states to take measures to bring down the prices of Onion. An official press release says that the wholesale prices of Onion have come down by 13 to 35 per cent.

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