Export ban may trim pulses sowing by half

Sowing of kabuli chana and masur could decline by more than half (over 50 per cent) if the ban on exports of these two pulses is not lifted by September.

"Farmers will be discouraged to go ahead with the sowing of kabuli chana and masur when the sowing season begins in October, as these two pulses have a big share in the overall export basket of pulses," said a Mumbai-based pulses exporter.

The annual production of the Mexican variety of kabuli chana is about 3 lakh tonne, while that of masur stands at around 12 lakh tonne. More than 70 per cent of both these pulses is exported, he added.

According to a commerce ministry data, the country exported 4.6 lakh tonne pulses in 2005-06, of which kabuli chana and masur accounted for nearly 3 lakh tonne.

"If the government allows exports of pulses against imports, the quantity of imported pulses "� urad, tur, chana and moong "� will go up to 15 lakh tonne from the current level of 10-11 lakh tonne. This will result in a greater quantity being available for domestic consumption," said a trader.

According to government sources, the agriculture ministry, in mid-July, put forward a proposal for allowing exports of the Mexican variety of kabuli chana as, the ministry thought, a ban on its exports would serve as a disincentive for growing the crop, since farmers garner good realisations from that.

The agri ministry also proposed for allowing exports of about 15 per cent of the imported quantity of urad, moong, tur and masur after processing.

This, it felt, would encourage more imports and also ensure domestic availability. It indicated that banning of exports might result in revival of pulse processing units in the neighbouring countries, thus affecting indigenous processors and exporters.

"If we are not allowed to export pulses, neighbouring countries like Myanmar, Pakistan and Sri Lanka will develop their pulses export market and domestic exporters will be losing their markets, gradually," said a Jalgaon-based exporter.

Further, the ministry requested for placing the matter before the Cabinet Committee on Prices for consideration. Nearly a month has lapsed since these recommendations were made, but so far no decision has been taken in this regard, sources said.

The government should relax the export restrictions on kabuli chana as "we mostly consume desi chana rather than kabuli chana", said a Karvy Commodities analyst.