In a move that will get farmers better remuneration for their produce, the Centre has decided to remove the prohibition on export of all types of pulses.

While allowing exports, the Cabinet Committee on Economic Affairs (CCEA) on Thursday also empowered the Committee of Secretaries (CoS) on pulses to review the export/import policy on the food crop and consider measures such as quantitative restrictions, prior registration and changes in import duties depending on domestic production and demand, domestic and international prices as well as international trade volumes.

In September, the Centre had lifted the ban on export of tur , urad and moong dal . The export restrictions, stocking limits for private traders and not allowing futures trade in a year that had a bumper crop had created a havoc on the pulses front, agricultural economist Ashok Gulati told BusinessLine .

“Opening of export of all types of pulses will help the farmer to dispose off their products at remunerative prices and also encourage them to expand the area of sowing. Export of pulses would provide an alternative market for the surplus production. Allowing export of pulses will also help the country and exporters regain their markets,” an official release said.

The CoS is chaired by the Secretary, Department of Food & Public Distribution, and comprises Secretaries of Department of Commerce, Department of Agriculture, Cooperation and Farmers Welfare, Department of Revenue, Department of Consumer Affairs and Directorate General of Foreign Trade.

“We welcome Government’s announcement to remove export restrictions across the pulses basket,” said Pravin Dongre, Chairman of India Pulses and Grains Association (IPGA).

“Agri exports from India have vast potential and an open trade policy will go a long way in not only finding new markets, but also in creating efficiencies in the entire value chain. It will correct price distortions, offer support to pulses selling below MSP and revitalise the milling industry. We believe this step will improve the returns to farmers and potentially open up greater investments in the sector,” he said.

The market price for pulses has fallen below the minimum support prices (MSP) in most States because of increase in production, lopsided imports and growing stocks leading to intense distress to farmers.

The country’s pulses production touched a record of 22.95 million tonne in 2016-17 crop year (July-June) compared to 16.35 million tonne in the previous year on account of encouragement from the government in terms of attractive MSP.

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