Govt extends zero customs duty, ban on pulses' export by a yr

NEW DELHI: With pulses production estimated to decline this fiscal, the government on Wednesday extended import of these products at zero duty and the ban on exports on almost all varieties, for one more year, to increase its domestic supply.

At a Cabinet meeting here, the Union Cabinet also decided to extend the distribution of imported pulses through the public distribution system for six more months till September 30 this year, Home Minister P Chidambaram said today.

Besides, it was decided to allow state-run trading firms to import 1.5 million tonnes of pulses under a reimbursement scheme, he said.

"The decision today is to extend zero duty on import of pulses for one more year beyond 31/3/2009," Chidambaram told reporters after the Cabinet meeting.

As such, pulses can now be imported at zero duty for one more year till March 31, 2010, he said.

"The second decision is to extend the ban on exports of pulses except Kabuli Channa for one more year, that is 1/4/2009 to 31/3/2010," he said.

Concerned over the rise in prices, the government had clamped ban on exports of pulses and exempted them from customs duty in June, 2006.