NASHIK: The Nashik district onion traders' association called off its strike on Wednesday, paving the way for resumption of auctions at the district's 15 agriculture produce market committees (APMCs) from Thursday.

The move will ensure smooth supply of onions from Nashik, the country's largest onion hub, to various states across the country.

The traders were on strike for the last three days in protest of Centre's imposition of 40% export duty on onions.Association president Khandu Deore said the strike was called off after Union minister Bharati Pawar assured the traders that she would discuss with her cabinet colleague, Piyush Goyal, whether the onion containers, which are currently stuck at various ports for the last few days, can be shipped out of the country without paying the duty.

The director of APMC at Lasalgaon, Nashik, Jaydutt Holkar, said while the traders were against the export duty, they decided to call off the strike as the current situation doesn't benefit anyone.Meanwhile, the Centre is considering a proposal to introduce a floor price for onion exports for calculating the 40% duty to prevent any under-invoicing of shipments of the kitchen staple.

TOI has learnt that representatives of Horticulture Produce Exports Association met officials of consumer affairs and finance ministries and urged the government to fix the floor price to avoid any misuse by invoicing onions at a lower price.A major exporter said by declaring lower prices, some traders are avoiding duty and reducing their costs.

Once the government fixes the floor price, the customs department will levy 40% duty on the floor price, even if the traders prepare invoices at lower prices.