35,000 tonne pulses recovered in 10 states

New Delhi: Getting in fire fighting mode to check dal prices which are hovering  over Rs 200 per kilogram, states have seized 35,000 tonne of pulses in raids from  hoarders in ten states. Also  5,000 tonnes of pulses imported by Centre have landed in country and will be picked up by the states soon. Another 3,000 tonnes of pulses are  being imported.

The Modi government is hopeful that as stock of pulses from these two sources (seized from  hoarders and imported) are distributed in markets it will help in cooling the prices of pulses.

The finance minister Arun Jaitley on Wednesday called a meeting of the inter-ministerial group for the second time in a week and blamed the states for not doing enough to crack down on hoarders and black marketers.

“It is a matter of regret that most states are doing nothing to discharge their responsibility in taking action against hoarders. It is only in the last three to four days, after the  central government amounted pressure, that staggering quantities of 36,000 tonnes of  dal have been recovered. Raids are still continuing,” he said after the meeting.

Mr Jaitley expressed the hope that prices will cool at retail level in the next two-three  days after quantity seized in raids as well as those imported are released in the market. “The raids are still continuing and over next two to three days, more such raids will be done by the states,” he said.

Prices of pulses to come down in 15 days

The prices of pulses are expected to come down in another fortnight as traders have contracted to import 25 lakhs tonnes of pulses between October 15 and January 31, 2016, India Pulses and Grains Association said.

“Out of this, 2.5 lakh tonnes of pulses have already arrived at Mumbai port in the last five to seven days,” said Pravin Dongre, chairman, IPGA. However, the trade body requested the government to roll back its recent decision to put stock limit on importers stating that the move will disrupt the fresh supply of pulses leading to scarcity.

“The stock limit is counter -productive. With such a tiny limit, importers can’t operate,” he added. “Some importers have booked bulk cargoes of 50,000 tonnes, which either needs to be cancelled or diverted to other ports in other states,” said Mr Dongre.

IPGA officials said that there are reports about excellent harvests of pulses in Australia, Canada and other exporting countries and stocks will start arriving at Indian ports in the next couple of weeks, which will help ease the current situation. India has had two consecutive monsoons with deficient rainfall, which has led to lower production.