Excess Supply is The Reason of Price Decline

The Central Government in New Delhi has indicated that domestic pulse prices are starting to fall. This drop is due to increased imports and expanded sowing during the Kharif season. The Union Consumer Affairs Secretary explained that the pulse market is softening because of rising overseas imports.

Kharif season sowing has been completed, and the area under cultivation has grown significantly compared to last year. Favorable monsoon rains across many states hint at a strong harvest for crops like gram. These factors will likely push prices down further in the coming months.

This is The Best Kharif Season of India

Despite recent declines in the production of major pulses such as gram, tur, and urad, this Kharif season is expected to perform better. Experts predict tur will see improved yields, while the upcoming Rabi season also looks promising. The overall sowing area for pulses has grown by 7.6% from last year, totaling 12.86 million hectares. Crops like tur, moong, and moth have seen expanded planting, although there’s been a slight drop in urad cultivation.

Government's Import Strategy is For Future Planning

The government has introduced plans to import large quantities of pulses to stabilize supply and prices. This includes 200,000 tonnes of gram from Australia and 1 million tonnes from Tanzania. Additionally, 2.1 million tonnes of yellow peas have been imported duty-free to substitute gram, boosting domestic supply.

Although prices have fluctuated, retail inflation for pulses has started to stabilize since June 2023. Strategic imports and increased production are helping balance the market. Chana dal, for example, saw a 21.65% price hike last month. However, with new crops arriving and imports rising, these pressures should ease soon.

Conclusion: Price Decline May Benefit Everyone

The pulse market seems control the prices thanks to expanded sowing and higher imports. These measures should ease current price pressures and bring long-term stability, benefiting both producers and consumers.





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