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Centre to provide subsidy of Rs 10 per kg on imported tur dal to states

26 Aug 2015 Evaluate

The centre will provide a subsidy of Rs 10 per kg on imported tur dal (pigeon peas) to the states in order to cushion the impact of price rise. The centre will make it available to states at Rs 67 a kg despite tur dal being imported at Rs 77 per kg, giving a subsidy of Rs 10 per kg. The imported tur dal will start reaching India from September 1 and a total 5,000 tonnes of the pigeon peas will arrive by September 15.

In addition, from first week of October, the centre is also planning to import 5,000 tonnes of urad dal at Rs 86 per kg. The centre is spending about Rs 81 crore from the Price Stabilization Fund on import of both these pulses.

The prices of both the pulses rose by more than 60% in the first week of July pursuant to which state-run MMTC has floated tenders for importing 5,000 tonnes of tur and urad dal. The supply crunch due to decline in domestic production has led the retail prices of most pulses including tur to surpass Rs 100 per kg.