Government doubles export incentives for onion farmers to 10 percent

The Indian government on Friday doubled export incentives for onion farmers to 10 percent, following steep drops in recent weeks in the prices for onions, a staple food in India.

The move will result in better prices for onions in the domestic market, the government said in a statement.

The export incentive programme allows farmers to get a credit from the government, which can be used to pay various taxes.

Prime Minister Narendra Modi is currently trying to win back support from farmers ahead of a general election, due to be held by May. The farmers have been angry about the lack of government support they have been given as crop prices have collapsed.