Given the rising threat of El Nino to kharif crop output, the Department of Consumer Affairs (DoCA) has asked the Department of Agriculture and Farmers’ Welfare (DAFW) to consider temporarily stopping open market disposal of pulses from public stocks to ensure adequate availability in coming months.
The stocks were built up under the price support scheme (PSS).
The DoCA has requested DAFC to consider relaxation of the PSS stocks disposal norm for nine months from the date of procurement of the grain, especially for tur and chana variants purchased from the farmers in the 2025-26 season. The idea is to preserve the stock until a clear picture emerges about production prospects of forthcoming Kharif and Rabi crops.
“The disposal of pulses through the open market sale and procurement decisions under the PSS may need to be reviewed in light of the evolving situation,” the department stated. Currently, the government has estimated around 4 million tonnes (MT) of pulses as a buffer largely created through procurement under PSS by the agriculture ministry and some imports under the Price Stabilisation Fund. Chana buffer is currently estimated around 2 MT, and the tur or arhar stock would be around 0.7- 0.8 MT.
“This would help preserve adequate stock of pulses held with Nafed and NCCF, strengthen preparedness against any production shortfall arising from adverse weather conditions including El-Nino, and ensure adequate availability of pulses at affordable prices to consumers in the market,” the communication from DoCA stated. It stated that the preliminary assessment indicates that emerging El Nino induced weather-related uncertainties may influence area coverage and crop performance in some regions, but the overall implications for production are yet to become clear.
Delayed Monsoon
“We want to be cautious and watchful while managing our buffer stock as kharif crops sowing has been delayed because of sluggish progress of monsoon in June while threat of El Nino emerging in September could impact next rabi crops,” an official told FE. The DOCA official said that a clear picture about kharif pulses acreage would emerge next month.
Area under pulses acreage stands at 6.92 million hectare, a sharp 15% year-on-year fall till July 17, 2026, mostly attributed to the scanty rainfall received till end of June in central India.
Strategic Reserves
Under PSS, the overall quantity of procurement by central agencies is restricted to 25% of the production of pulses and oilseeds varieties and should be disposed of within nine months from the closure of PSS operations to avoid increasing holding costs and quality deterioration.
The government uses the strategic reserves of pulses as an instrument of the market intervention program to curb the possibility of any rise in prices. These stocks are offloaded through open market sale and supplies to states for the welfare schemes such as PM-Poshan, Integrated Child Development Services (ICDS), public distribution system (PDS) etc.
The DoCA has initiated the transfer of 0.3 MT of tur, 0.5 MT of chana and 50,000 tonnes of urad from stock procured under PSS to the Price Stabilisation Fund (PSF) in the current fiscal.
