Restriction on import of pulses to continue

Source: The Hitavada      Date: 07 May 2018 14:42:49


Business Bureau,

AS THE falling prices of pulses are giving sleepless nights to farmers and traders all over the country, the Central Government took yet another policy decision to support the prices.

Removing the clouds of uncertainty over the import of pulses, the Central Government recently made it clear that restriction on import of urad and moong dal will continue till further order. In a notification issued by the Directorate General of Foreign Trade (DGFT) on May 4, 2018, the authorities specifically mentioned that the ban imposed on urad and moong dal in August 2017 has been extended.

In an attempt to the support falling prices of pulses in the country, the Government had in August 2017 put imports of urad and moong dal under the restricted category and fixed a cap for its in-bound shipments up to 3 lakh tonne.
In the recent notification, the Government has not only continued the fixed cap of 3 lakh tonne for the pulses, but it also included the quantity of the processed pulses imported by the traders. Earlier, processed pulses were not included in the allowed quota.

Interestingly, the restriction will not apply to the Government’s import commitments under any bilateral and regional agreement.
However, the effect of the policy decision is yet to reflect on the prices as most of varieties of pulses are still trading below their Minimum Support Price (MSP) fixed by the Government.

Pratap Motwani, President of the Wholesale Grain and Seeds Merchant Association, said that prices of pulses are at very low levels. “No one is happy in such a condition. Farmers are not getting good returns on the crop and traders are also witnessing sluggishness in the markets,” he said.

Motwani said that the MSP for moong dal is Rs 5,250 per
quintal but it is being sold in the markets in a price ranging between Rs 4,000 and Rs 4,800 per quintal.
“The MSP for Urad dal is Rs 5,250 per quintal but its price in the local market on Saturday was between Rs 3,800 and 4,500 per quintal,” he said.
Moong dal production has touched a record in the current season and so is the case with other pulses which has eventually created mismatch in demand and supply of the commodity.