Shortfall in sight, government takes steps to check pulse prices

NEW DELHI: Wiser after the Bihar debacle, the Centre has stepped up efforts to avoid another round of sharp increase in prices of pulses, particularly of arhar.

Sources said government may walk the extra mile to make arhar and urad available around Rs 100 per kg by increasing imports and by procuring from the domestic market to create a buffer stock.

With India again expecting a wide gap between domestic production and consumption of pulses this year-- estimated at 5-6 million tones--the Prime Minister's Office took an early stock taking meeting on Tuesday. Principal secretary to PM, Nriprendra Misra chaired the meeting where detailed discussion was held on the estimated domestic production, likely import and the strategy to sensitise the states to take necessary action including lifting the imported pulses quickly.

TOI has learnt that secretaries of departments concerned have been asked to come out with calculations of how much needs to be imported and what could be the size of the subsidy, if the government targets to make pulses available around Rs 100 per kg. At present, imported pulses (arhar) cost about Rs 130 at the shore.

Sources also said that the government feels there is a strong cartel of importers and traders in this trade, which is artificially jacking up the prices. "So, there is a need to import more and in a time bound manner. One thing is clear that government will go for huge import this time," said an official. Till Monday, only 7,000 tonnes of arhar and urad has been procured by Food Corporation of India and Nafed.