Govt extends duty-free pulses imports by 8 mths

The government has extended duty-free import of pulses by eight months to Mar 31 next year.

In a notification issued on Tuesday, the Central Board of Excise and Customs said the duty exemption would be valid till Mar 31 next year.India imports around 2 million tonne pulses each year to meet its requirements as the country's annual output has been stagnant at 13-15 million tonne since the past few years.

Last year, the government allowed the import of pulses at zero duty to ease the prices, which had almost doubled due to lower domestic crop and high global prices.High prices of farm produce, including pulses, have been exerting an inflationary pressure on the economy.

India's headline inflation rate, based on the wholesale price index, rose to 6.46 per cent for the week ended Mar 3, up from 6.10 per cent a week earlier and 3.86 per cent a year ago.The Reserve Bank of India is targeting March-end inflation at 5.0-5.5 per cent.The government has said curbing inflation continues to be high on its agenda, as it could have a de-stabilising impact on the macro-economy.

To curb the soaring prices of pulses, the government had last year asked three state agencies to undertake imports of pulses. Earlier this year, it also banned forward trade in tur and urad to prevent speculation and price volatility.