Agriculture minister Shivraj Singh Chouhan has raised concern about continued duty-free import of yellow peas, used as cheaper substitute of chana in snacking industry, is leading to distortion of market prices.
Chouhan has asked for imposition of 50% duties on shipments. In a recent communication to food minister Prahalad Joshi, Chouhan has stated that continued imports of yellow peas has brought down domestic pulses prices and will discourage farmers to undertake area expansion of pulses.
Chouhan points out yellow peas are low priced than MSP
Chouhan has pointed out that the landed cost of yellow peas currently is about Rs 3,351/quintal, which is significantly lower than the minimum support price (MSP) and mandi prices of the major pulses such as tur, moong and urad.
Trade sources said the pulse variety which is currently being imported from Russia and Canada at around $355-360/tonne is being widely used as ‘besan’ (chickpea flour) for making snacks. Chana production was estimated at 11.33 million tonne (MT) in the crop year 2024-25, which is about 50% of the country’s pulses production of 25.23 MT.
“We have reasons to believe that continued import of yellow peas at lower prices is leading to adulteration with other pulses and also distorting market prices,” Chouhan has stated.
Sources said the issue of continued duty-free import of yellow peas has been discussed in several inter-ministerial committee (IMC) meetings. While two IMC meetings held earlier this month have reviewed the import policy of yellow peas but no decision has been initiated yet.
Earlier Satish Upadhyay, secretary, India Pulses and Grains Association, said, “We have urged the government several times to impose at least 50% import duties on yellow peas so that domestic mandi prices remain stable and farmers are incentivised.”
In December 2023, the government allowed duty free import of yellow peas and the relaxation was extended from time-to-time, while current exemption is till March 31, 2026.
Over 3.5 MT of yellow peas have been imported since December 2023. Trade sources said currently around 1 MT of the pulses variety are with importers while domestic production is around 0.45 MT which would be sufficient to meet domestic demand.
CACP calls for ban on the import of yellow peas
The Commission for Agricultural Costs and Prices (CACP) in the price policy for rabi marketing season (2025-26) had recommended a ban on the import of yellow peas by stating that such imports have a negative impact on domestic prices and income of the farmers.
Earlier an import duty of 50% was imposed on the pulses’ variety to encourage domestic production of chana in 2017.
FE has reported earlier this week that surge in cheap imports from Myanmar, Mozambique, Tanzania and Canada and robust harvest prospects have dampened mandi prices of key pulses – tur, urad, masoor and chana. The prices are currently ruling below the minimum support price (MSP).
This trend may, according to traders, discourage farmers from sowing chana and masoor in the forthcoming rabi or winter season if the prices continue to rule below the benchmark price