Export curbs started with onion. They're going to spread, soon
NEW DELHI : Exports of all farm commodities may come under the government lens soon, a move that aims to cool domestic prices but may spark global food security concerns. The government plans to bring all agricultural commodities under its export review and minimum export price (MEP) policy, a senior official said on the condition of anonymity. Currently, an inter-ministerial committee (IMC), chaired by the department of commerce (DoC), is responsible for the seasonal review of onion exports.
In a recent meeting, the IMC recommended that the DoC “may also examine the export or MEP policy issues of other agriculture commodities and issue necessary orders in this regard", the official said. “The proposal related to the expansion of terms of reference of IMC in DoC for export or MEP issues on onion to other agriculture commodities has been placed before the meetings of CoS (committee of secretaries) and CoM (committee of ministers) for their consideration and approval," the official added. Queries sent to the DoC and the department of food and public distribution remained unanswered till press time.
“Putting curbs on exports is not the best idea. It comes in the way of decisions taken by farmers as they cannot take a medium-term view," said Madan Sabnavis, chief economist at Bank of Baroda. “That said, it can be only temporary and should have an end time.
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