In a move aimed at safeguarding domestic pulse producers, the Government of India has announced a 30% import duty on yellow peas, effective November 1, 2025. The decision comes amid rising imports of the crop from countries like Russia, Canada, and Ukraine, which had started to put pressure on local pulse prices.
Why the Import Duty Was Introduced
According to the Ministry of Finance, the new tariff seeks to balance supply in the domestic market and ensure that farmers receive fair prices for their produce. Yellow peas are a key substitute for chickpeas and other pulses in India, and the surge in cheaper imports had raised concerns about market distortion and farmer income loss.
Officials stated that the duty is intended to discourage excessive imports during the current harvest season when domestic supply is expected to increase.
Background: India’s Pulse Market Dynamics
India is the world’s largest consumer and importer of pulses, with annual demand exceeding 27 million tonnes. While the country has significantly boosted its production in recent years, dependence on imports remains — particularly for yellow peas, lentils, and urad.
The introduction of the import duty follows several months of declining mandi prices and protests from farmers’ associations calling for stronger policy support.
Global and Domestic Impact
The import duty is expected to:
Stabilize domestic prices by limiting cheaper inflows.
Support local growers, especially in states like Madhya Pradesh, Maharashtra, and Uttar Pradesh.
Potentially raise wholesale and retail prices in the short term, depending on consumer demand and import substitution.
Global exporters — particularly in Russia and Canada — may face reduced shipments to India, which has been one of their key markets for yellow peas.
Industry and Expert Reactions
Traders and policy analysts offered mixed views on the decision.
While farmer groups welcomed the move as “long overdue,” importers cautioned that it might increase inflationary pressures on pulses and related food items.
An analyst from a leading commodity research firm commented:
“This policy signals a shift toward protecting local agriculture. However, given India’s dependence on imported pulses, the government must balance farmer welfare with consumer price stability.”
What Lies Ahead
The duty will be reviewed periodically based on domestic availability and global price trends. The government is also expected to monitor the stock levels and retail inflation data before making any adjustments.
Economists note that this measure aligns with India’s broader push for agricultural self-reliance and food security, especially as global supply chains remain volatile.
FAQs
1. What is the new import duty on yellow peas?
A 30% import duty has been imposed starting November 1, 2025.
2. Why was this duty introduced?
To protect domestic farmers and stabilize local pulse prices amid rising imports.
3. Will this affect consumer prices?
Slightly higher prices may be seen in the short term due to restricted imports.
4. Which countries export yellow peas to India?
Mainly Russia, Canada, Ukraine, and some African nations.
5. Will other pulses also face higher import duties?
No announcement yet, but similar reviews for other pulses are possible depending on market conditions.
Published on : 31st October
Published by : SMITA
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