The government on Tuesday extended duty free import of yellow peas used as substitute of chana for two more months till end of February aimed at curbing prices of key pulse variety.
In December last year, the government allowed duty free import of yellow peas while an import duty of 50% was imposed on pulses variety in 2017 to encourage domestic production.
The duty relaxation on yellow peas has been extended till February 28. “Import of yellow peas is free without minimum import price consition and without port restriction, subject to registration under online import monitoring system,” the directorate general of foreigh trade (DGFT) stated in a notification.
Sources told FE that around 2.3 million tonne (MT) of yellow peas has been imported in the country to improve domestic supplies. Officials said that while sowing of chana, which has 50% share in the country’s pulses production, has been largely completed harvesting would commence from end of March or early April.
“We may not extend the duty free import of yellow peas further as harvesting of chana would commence in the next couple of months,” an official said. Sowing of chana is up 2% at 8.6 million hectare so far compared to previous year.
Retail inflation in chana has been in double digit since October, 2023 and the price rise was 20.12% in November, 2024 on year.
However, the retail inflation in pulses category has moderated to 5.41% in November from 11.3% in August, as prices have softened. Retail inflation in pulses have been in double digits since June, 2023 because of lower output of key varieties of pulses like chana, tur and urad.
Meanwhile, the department of consumer affairs has urged retailers to reduce prices of pulses in line with the decline in wholesale rates. Officials said while prices tur, masur, chana, moong, yellow peas, urad etc have declined by 5-20% in the last two months in the wholesale markets, the retail prices continue to rule firm
The agriculture ministry also approved procurement of 0.3 MT of tur or arhar dal in Karnataka under the price support scheme (PSS) as early harvest of key pulses variety have started to arrive. The purchase by agencies from farmers by paying minimum support price (MSP) by coopertive Nafed and NCCF would commence in other key producing states Madhya Pradesh, Maharashtra and Rajasthan once harvests start arriving the market.
Agencies have registered 1.7 million farmers in major pulses producing states for carrying out PSS operations.