Commission for Agricultural Costs & Prices (CACP) Recommendations
The CACP has recommended a "complete ban" on imports of yellow peas and "high tariffs" on chana (chickpea/gram) and masoor (red lentil) to protect domestic prices.
Reasons for the Recommendations
- Unrestricted cheap imports of pulses, particularly yellow peas, gram, and lentil, have adversely affected domestic market prices.
- The proposal comes ahead of the 2025-26 rabi cropping season.
Minimum Support Prices (MSP) Fixation
- The MSP for chana and masoor has been fixed at Rs 5,875 and Rs 7,000 per quintal, respectively.
Imports Data and Duties
- India imported a record 72.56 lakh tonnes of pulses worth $5.48 billion during 2024-25.
- Imports included 21.67 lt of yellow/white peas, 16.14 lt of chana, and 12.19 lt of masoor.
- Import duty on yellow/white peas was scrapped in December 2023, and on chana in May 2024, due to high food inflation.
Inflation and Policy Reversal
- Annual consumer price inflation in pulses remained in double-digits for 15 months till August 2024 but softened recently.
- Pulses inflation decreased to minus 14.9% in August, potentially prompting policy reversal.
Current Import Policies and Market Impact
- The government re-imposed a 10% duty on desi chana from April 2025; yellow/white peas remain duty-free until March 2026.
- Yellow peas are imported at a low price of around Rs 2,800 per quintal, compared to the MSP of Rs 5,875.
- Land prices for imported chana and masoor remain low, making it harder for Indian farmers to achieve MSPs.
Industry Perspective
Nitin Kalantri, a dal miller from Latur, emphasizes the importance of implementing CACP's recommendations to encourage pulse cultivation.
