Pulses production to decline 7% this year; prices to go up

India's pulses output is set to decline seven per cent to18 million tonnes in crop year 2014-15, according to the Second Advanced Estimate by the Ministry of Agriculture.

Pulses output during the previous crop year (July-June) was estimated at 20 million tonnes.

Bimal Kothari, vice-chairman of India Pulses and Grain Merchants Association and managing director of import firm Pancham International, said, "Lower output may support pulses price moving up this year."

The benchmark chana for delivery in April firmed up by two per cent to Rs 3,665 a quintal in February on the National Commodity and Derivatives Exchange. Other pulses moved in tandem in spot markets.

Pulses price has been under pressure for the past few years following a slowdown in demand growth.

While tur production is estimated at 2.75 million tonnes, gram output is forecast to remain around 10 per cent lower this year at 8.3 million tonnes.

One month of delay in the monsoon rainfalls previous season resulted in a proportionate delay in the sowing and harvesting of kharif crops. Consequently, sowing of rabi pulses also remained lower. Besides, unseasonal rainfalls in January are reported to have damaged standing rabi crop in major growing areas.

"Thus, India's dependence on foreign pulses would rise with around four million tonnes of estimated import this season, a rise of 0.3-0.5 million tonnes in the previous year," said Kothari.