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Likely import curbs worry lentil traders.


Date: 11-03-2017
Subject: Likely import curbs worry lentil traders
PUNE: Bumper produce of tur, moong pushed up prices below MSP by the government India's lentils traders and its government seem to have two different sets of problems in a bumper-crop year: The first concerns potential stalling of imports because of a quarantine ruling, while the second relates to providing marginal farmers sufficient cash for their produce. 

Indian Pulses and Grains Association (IPGA), which represents traders and processors of pulses, said that if the government did not extend the 10-year old exemption to the requirement of treating pulses with Methyl Bromide at the country of origin, it could stall import of pulses from April. The move would mostly affect the import of yellow peas, the cheapest pulses available in India. 

Separately, bumper produce of tur and moong have pushed their prices below the minimum set by the government. India's tur production is expected to increase from 2.56 million tonnes last year to 4.23 million tonnes in 2016-17, up 65%. Tur production of Maharashtra is likely to go up from 0.44 million tonnes in the previous year to 1.17 million tonnes in 201617, an increase of 165%. The bumper output has led tur prices to fall significantly below the state guaranteed price of Rs 50.50kg. 

India's 2016-17 pulses production is expected to be 22.14 million tonnes, compared with 16.35 million tonnes last year. To prevent speculation in prices of yellow lentils, India's capital markets regulator had suspended new contracts in the trade of chana since June 2016. Meanwhile, IPGA said in a letter to the government that exporters are holding back consignments as they fear cancellation of order .. 

Source: economictimes.indiatimes.com

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