The government on Monday lifted the export ban on all varieties of onions with effect from January 1 next year due to decline in prices of the kitchen staple.
In September, the government had prohibited onion exports because of the spurt in prices and to increase availability in the domestic market.
"The export of all varieties of onions...has been made free with effect from January 1, 2021," the Directorate General of Foreign Trade said in a notification.
The DGFT, an arm of the commerce ministry, deals with exports and imports-related issues.
The retail prices in the national capital hover around Rs 35-40 per kg.
Maharashtra, Madhya Pradesh and Karnataka are the top three onion growing states in India.
India is one of the biggest onion exporters. The export destinations include Nepal and Bangladesh.