Government of India
Ministry of Commerce & Industry
Directorate General of Foreign Trade
UdyogBhavan, New Delhi

Policy Circular No. 04/2015-20

Dated the 26th February , 2018


1. All Custom Authorities

2. APEDA, New Delhi

3. Federation of Indian Export Organisations (FIEO)

4. All Regional Authorities of DGFT

5. All EPCs

6. All concerned

Subject: Clarification regarding export policy of onions- Removal of Minimum Export Price (MEP) and Letter of Credit (LC) – Reg .

DGFT has received representations from exporters of onions stating that Customs is not allowing export of onions without LC(Letter of Credit) despite DGFT Notification No. 48/2015-20 dated 02.02.2018 removing MEP and LC on export of onions.

2. The matter has been examined and it is informed that the DGFT vide the aforementioned Notification dated 02.02.2018 had substituted Para 2 of its earlier Notification No. 39 dated 23.11.2017, which provides that “export of all varieties of onions will be allowed only on Letter of Credit (LC) subject to a Minimum Export Price (MEP) of US$ 850 F.O.B. per Metric Ton till 31.12.2017”, which was further extended upto 20.02.2018 with revised MEP of USD 700 PMT.

3. Since Para 2 of the Notification No. 39 dated 23.11.2017 has been substituted vide Notification No. 48/2015-20 dated 02.02.2018, the requirement of MEP and LC, both stands removed till further orders.

4. In view of the above, it is clarified that export of all varieties of onions are permitted for export without any MEP or LC w.e.f. 02.02.2018 till further orders.

5. This issues with the approval of competent authority.

(Arunoday Goswami)
Joint Director General of Foreign Trade
Tele No. 011-23063419
e-mail : arunoday.goswami

[Issued from F. No. 01/91/180/922/AM08/EC(Vol. IV)]

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