Centre imposes Stock Limit On Tur and Chana Dal to Curb Holdings

22 Jun 2024

Recently, the government imposed stock limits on tur (pigeon pea) and chana (chickpea) dal for all states and union territories until September this year.

Govt imposes stock limits on Tur and Chana Dal

  • About Stock-holding limit: A regulatory measure that imposes caps on the quantities of specific commodities, such as pulses, that retail shops and traders can store. 
  • Applicability: The Centre passed the Removal of Licensing Requirements, Stock Limits and Movement Restrictions on Specified Foodstuffs (Amendment) Order, 2024, specifying stock limits for wholesalers, retailers, supermarkets, millers and importers for the two commodities
  • Reason: The move is aimed to:
    • Prevent hoarding.
    • Curb unscrupulous speculation.
    • Improve affordability of tur and chana for consumers.
    • Curb Price Inflation.
  • Monitored by: The Department of Consumer Affairs has been closely monitoring Pulses stock position through the stock disclosure portal.

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Government Initiatives to Stabilise Pulses Market and Ensure Affordability

  • Enforcement of Mandatory Stock Disclosure: The department communicated with state governments to enforce mandatory stock disclosure by all stockholding entities.
    • Follow-up visits to major pulses-producing states and trading hubs were conducted across the country. 
  • Stakeholder Meetings: Separate meetings were held with traders, stockists, dealers, importers, millers, and big-chain retailers to encourage truthful stock disclosure and maintain the affordability of pulses for consumers.
  • Import Duty Reduction: To boost domestic production, the government reduced the import duty on desi chana by 66 per cent.
    • The duty reduction has facilitated imports and prompted higher sowing of chana in major producing countries.
  • Expected Increase in Kharif Pulses Sowing: The sowing of Kharif pulses like tur and urad is expected to rise significantly this season due to farmers’ high price realisation and the India Meteorological Department (IMD) prediction of above-normal monsoon rains.
  • Imports of Tur from East Africa and Chana from Australia: Imports of the current year’s crop of tur from East African countries and Chana from Australia will help maintain the affordable availability of Chana to consumers.
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