• The Centre has allowed exports of 99,500 tonnes of onions, mainly sourced from Maharashtra, to six neighbouring countries of Bangladesh, UAE, Bhutan, Bahrain, Mauritius and Sri Lanka.

• On December 8, 2023, the government banned export of onions.

• The export prohibition has been imposed to ensure adequate domestic availability against the backdrop of estimated lower Kharif and Rabi crops in 2023-24 compared to the previous year.

• The ban was imposed amid an increase in demand in the international market.

• The Centre has also allowed exports of 2,000 tonnes of white onion cultivated, especially, for export markets in the Middle East and some European countries. 

• The National Cooperative Exports Limited (NCEL), the agency for the export of onion to these countries, sourced the domestic onions to be exported through e-platform.

• NCEL has supplied to the agency or agencies nominated by the government of the destination country at the negotiated rate on a 100 per cent advance payment basis.

• The offer rate of NCEL to the buyers takes into account the prevailing prices in the destination market and also international and domestic markets.

• The quota allocated for export to the six countries is being supplied as per requisition made by the destination country.

• As the largest producer of onion in the country, Maharashtra is the major supplier of onions sourced by NCEL for export.

National Cooperative Exports Limited

• National Cooperative Exports Limited (NCEL) was created to function as an umbrella organisation for promoting exports by the entire cooperative sector of the country.

• NCEL was set up with the approval of the Union government and registered under the Multi-State Cooperative Society Act, 2002 on January 25, 2023. 

• It is jointly promoted by some of the leading cooperative societies in the country, namely, Gujarat Cooperative Milk Marketing Federation (GCMMF) popularly known as AMUL Indian Farmers Fertilizer Cooperative Limited (IFFCO), Krishak Bharati Cooperative Limited (KRIBHCO) and National Agricultural Cooperative Marketing Federation of India Limited (NAFED). 

• National Cooperative Development Corporation (NCDC), a statutory corporation under the ministry of cooperation, is one of its promoter members.

• The authorised share capital of NCEL is Rs 2,000 crore. 

• Cooperatives at all levels, from primary to national, that are interested in export activities will be eligible to join NCEL as members.

• The registered office of the NCEL is in New Delhi. 

• By acting as an umbrella organisation, setting up of NCEL will promote exports from the cooperative sector at all levels and across all sectors.

• This will help in maximising the export potential of Indian cooperatives in overseas markets. This will also help cooperatives reap the benefits of several export-related schemes, programmes, initiatives and policies of various ministries of the government of India in a focused manner through the ‘whole-of-government approach’.

• NCEL will not only focus on making profits from exports but also handhold farmers to manufacture products for the export market.

• The NCEL will help in arranging finance for export activities, providing technical guidance, helping in training and capacity building, developing and maintaining a market intelligence system, implementing related government schemes, and undertaking any other such activities which will increase exports from the cooperative sector and other related entities.

The NCEL will assist cooperatives through following activities:

i) Value addition and improving product quality according to international standards to enable cooperative exports to compete in the international market.

ii) Assistance with export certification and logistics.

iii) Obtaining funds, providing technical guidance, and assisting in capacity building and training.

iv) Conducting international/national market research and building a market intelligence system.

v) Providing export-related consultation services.

vi) Establishing a knowledge repository for cooperative exports.

vii) Facilitating cooperative product market positioning through branding, labelling, and packaging support.

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