Centre Doubles Export Incentive for Onion Farmers

Onions MEIS Raised to 10% from 5% for Six Months from 28 Dec 2018 to 30 June 2019

The Government increased the export incentives granted for Onions under the Merchandise Exports from India Scheme (MEIS) from existing 5% to 10% in the interest of farmers on 28 December 2018. This will result in better price for Onion in domestic markets. It may be noted that the Onion arrivals have increased in the market at present due to which the prices in the Mandis are subdued.

To contain the situation, it has been decided by the Government to encourage exports of Onions so that the domestic prices stabilize. Thus, export incentives for Onions have been doubled to 10% from what is being currently provided under MEIS scheme. The export incentive for fresh inions was zero before July, 2018. During July, 2018, the incentives were introduced at the rate of 5%. Now, with the current increase, Onions enjoy one of the highest incentives for Agro-exports. This timely intervention would help the farmers who have recently harvested their produce and who have sowed/ recently transplanted their seeds, expecting better prices.

[DGFT Public Notice No. 65/2015-2020 dated 28 December 2018]

Effect of this Public Notice: The rates of rewards under MEIS for Onions, Fresh or Chilled under HS Code 07031010 have been enhanced from 5% to 10% with immediate effect.

Subject: Amendments in the Appendix 38, Table 2 of the Merchandise Exports from India Scheme (MEIS)

In exercise of powers conferred under paragraph 1.03 of the Foreign Trade Policy (2015-2020), the Director General of Foreign Trade hereby makes the following amendments in the Appendix 3B, Table 2, as amended from time to time.

2. The rates of Onions, Fresh or Chilled under HS Code 07031010, as present in the Appendix 3B, Table 2 are enhanced as per the table below with immediate effect.

MEIS Sl.No.	HS Code	Description	Current MEIS rate	MEIS rate for exports made from the date of publication of this Public Notice upto 30.06.2019
{1)	(2)	(3)	(4)	(5)
164	0703 10 10	Onions. Fresh or Chilled	5%	10%

(Issued from File no. 01/61/180/68/AM15/PC-3)