Pulses improts may drop by 11% in 2013-14

Confusion over import duty on pulses has also dissuaded traders from entering into long-term contracts

Sanjeeb Mukherjee New Delhi
Last Updated : Jan 09 2014 | 6:26 PM IST
India's imports of pulses might drop by around 11% to 3.2 million tonnes during 2013-14 because of good domestic harvest, depreciation of the rupee, confusion over duty structure and logistical problems in Canada, a senior industry official said.

Despite good harvest,  reduction in imports could push up domestic prices of pulses by at least 10% from the current levels from the end of January onwards, Pravin Dongre, chairman of Indian Pulses and Grains Association told reporters.

He said that chana imports from Australia which was around 600,000 tonnes in 2012-13 are expected to fall to around 120,000-130,000 tonnes in 2013-14 while that from Russia are likely to come  down from around 100,000 tonnes to 80,000-90,000 tonnes.

"There is also a huge problem with movement of pulses in Canada due to unprecedented winter, which is affecting imports to India," Dongre said. Official figures showed that India imported around 1.4 million tonnes of pulses between April to September 2013-14.

He said government's confusion over import duty on pulses has also dissuaded traders from entering into long-term contracts.

As domestic  prices are expected  to fall, players have called for lifting ban on exports  so that the  rates  could stablize.

"We want the government to immediately lift the ban on exports of all kinds of pulses, which will give good price to farmers and stop prices from falling below the Minimum Support Price," Dongre said.

Rajesh Agarwalla of Premier Pulses and a leading importer also said that government should consider selling pulses through the Public Distribution System (PDS) under the Food Security Act so that there is fixed demand.

Pulses production in India is expected to be around 18.45 million tonnes in 2013-14 crop year (June-July) as against 18 million tonnes last year.
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First Published: Jan 09 2014 | 6:23 PM IST

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