Maharashtra to lose out as government puts ceiling on pulses

PUNE: With Maharashtra government starting the process of putting a legal price ceiling on the prices of pulses, trade bodies have come together to oppose the move claiming that they will not be able to sell pulses at any price decided by the government. To tame prices, they have demanded removal of all essential commodities from futures trade.

As prices of pulses continued their upward move even during the peak harvest season, the Maharashtra government approved a draft legislation, to put a cap on the prices of pulses. The draft bill has to be ratified by the President of India to become an Act.

Traders said that the proposed price ceiling can prove counterproductive as the state can lose its trade to other states. “It will be impossible to do trading if the government fixes a price, which is not reasonable.

As price restrictions will be only in Maharashtra, we can lose the trade to other states,” said Vinesh Mehta, president of the Federation of Associations of Maharashtra. Walchand Sancheti, former president of the Poona Merchants’ Chamber said, “Today, tur dal prices range between Rs 100 per kg and Rs 130 per kg. We will not be able to sell the best quality dal at the government fixed price.” All trade associations in Maharashtra have decided to approach the chief minister demanding scrapping of the price cap and removal of essential commodities from futures trade.