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Agriculture Ministry may impose 10% import duty on chana

31 Dec 2014 Evaluate

In order to restrict cheaper imports and protect farmers from sliding prices of gram (chana), the Agriculture Ministry has proposed an imposition of a 10% duty on the commodity. The proposal comes in the backdrop of chana prices ruling below the minimum support price (MSP) of Rs 3,100 per quintal in some parts of the country.

The pulses are imported at zero duty across the board currently for any category. Similarly, export of pulses is prohibited except chickpea (Kabuli Chana) and organic pulses. The country generally imports 3-4 million tonnes different varieties of pulses annually. The country is dependent on imports to meet its domestic requirement of pulses but despite that the government plans to restrict inward shipment of chana.

The production of chana -- a rabi crop -- stood at 9.88 million tonnes (MT) in 2013-14 crop year, up from 8.83 MT in the previous year.  In the ongoing rabi season, chana sowing is under way and so far the coverage is lower at 7.78 million hectare, as compared with 9.06 million hectares.

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