India plans to reintroduce a 10% import duty on chickpeas, commonly known as Bengal gram or Chana. According to the finance ministry notification issued on March 27, imports of Bengal gram will be subject to a 10% duty starting April 1.
Last May, the government permitted the duty-free import of chana to boost domestic supply and stabilize prices. The exemption from import duty will remain in effect until March 31, 2025.
The decision follows forecasts of chana production reaching 11.5 million tons.
Pulses production has emerged this year, prompting the decision to implement a 10% duty on grams to safeguard prices from declining. India sources gram imports primarily from Australia and Tanzania to bridge supply gaps and manage prices, often waiving import duties.
Data from the agriculture ministry reveals a fluctuating pattern in chana production. It reached 13.54 million tons in FY22, dropped to 12.27 million tons in FY23, and further declined to 11.04 million tons in FY24. For FY25, production is expected to rise slightly to 11.54 million tons. In May 2024, chana imports were exempted from duties due to insufficient domestic production.
The duty-free import of pulses disrupts domestic market prices, preventing farmers from receiving fair value for the crops. Introducing a 10% import duty on gram is anticipated to shield domestic farmers from the impact of low-cost imports.
India is the leading global producer, consumer, and importer of pulses. Annually, the country imports around 15-20% of its pulse needs, amounting to approximately 60-70 lakh tons.
Finance Minister Nirmala Sitharaman unveiled a six-year initiative, the ‘Mission for Aatmanirbharta in Pulses.’ Sitharaman said the National Agricultural Cooperative Marketing Federation of India (NAFED) and the National Cooperative Consumers Federation of India (NCCF) would purchase all pulses made by farmers over the next four years on the condition, farmers must register with these agencies and formalize agreements.
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