Stock limit on pulses is regressive, withdraw order: Industry body

NEW DELHI: Barely hours after the Centre notified stock limits on pulses which the wholesalers, retailers, millers and importers can keep with them, the India Pulses and Grains Association (IPGA) termed it as a “regressive” step. It urged the government to immediately withdraw the order.
On Friday evening, the consumer affairs said the need for the urgent policy decision was felt to “send the right signal” to the market. The order issued by the ministry said wholesalers can stock a maximum of 200 tonnes of pulses (except moong) and they can’t keep more than 100 tonnes of one variety of pulses at any given time till October 31. The retailers can stock a maximum of 5 tonnes.
In case of millers, the stock limit will be the last three months of production or 25% of annual installed capacity, whichever is higher. For importers, the stock limit will be the same as that of wholesalers for stocks held or imported prior to May 15, 2021. For pulses imported after May 15, stock limit applicable on wholesalers will apply after 45 days from date of customs clearance.
“IPGA has always welcomed and supported the government's efforts to boost the trade and double farmer’s income including revision of the import policy from ‘restricted’ to ‘free’ in case of tur, urad and moong. But this order of imposing stock limits on pulses has taken the industry by complete surprise. It’s quite a regressive step by the government and will severely impact not only the wholesalers, retailers, millers and importers but also the farmers and consumers,” Bimal Kothari, vice chairman of IPGA said.
Kothari said farmers are going to be adversely impacted as it is going to be peak season for them with festivals around the corner and planting time for kharif crops. “Prices are going to crash. Chana is already selling below MSP. Farmers are selling tur and urad at the MSP. On the one hand the government wants the farmers to get MSP and double the farmer’s income but this kind of policy will hurt everybody and is certainly not beneficial to anyone,” he said.