With a sluggish pace in the procurement of chana this season, the government is considering measures to boost the purchases.
Sources said that in the current season procurement (2024-25) of chana or chickpeas, which has around 50% share in total pulses production, has been slow as agencies such farmers’ cooperative Nafed and NCCF have purchased only 0.2 million tonne (MT) so far against the buffer of one MT.
“As mandi prices are ruling just below the minimum support price of Rs 5650/quintal which discourages the farmers to sell to agencies at MSP,” sources said adding that procurement operations under the price support scheme are still on.
Trade sources said arrivals of pulse variety in mandis have already crossed their peak, purchase from private processors have been brisk this season with market prices ruling around Rs 5400/quintal across regions.“We are still waiting for the market prices to evolve before taking a call to buy at a market price to boost the buffer,” an official said.
Maharashtra Dall Millers Association in a recent communication to the government has urged for stopping duty free import of yellow peas, used as substitute for chana and restore import duty of 60% on bengal gram as surge in imports hurting the mandi prices.
At present over 3 MT of yellow peas have been imported since December 2023, the government wanted to improve domestic supplies of chana, due to decline in production in 2023-24 crop year (July-June) to 11 MT from 12.26 MT in 2022-23 crop year. Duty free import of yellow peas is allowed till May 31, 2025
However trade sources said chana production in the last crop year was significantly lower than the government estimate which had led to liberalisation of import policy.
Additionally 1.6 MT of bengal gram had been imported by Australia and Tanzania last fiscal at the import duty of only 10% currently.
In the 2024-25 crop while chana output has been projected at slightly higher at 11.53 MT by the agriculture ministry, robust private purchase has resulted in lower procurement for the government.
Meanwhile from April 1, the government had stopped milling of chan under the Bharat Dal initiative as stocks depleted because of sluggish procurement.
In 2023-24, agencies could purchase only 43,120 tonne of chana under PSS while in the 2021-22 and 2022-23 season, MSP purchase was 2.61 MT and 2.35 MT respectively.