The government imposes inventory restrictions on Tur, Urad Dal through October to curb hoarding

The government on Friday introduced stockpiling for tur and urad dals owned by wholesalers, retailers, importers and millers until October to discourage hoarding and prevent price hikes.

An order to this effect has been issued by the Union Ministry of Food and Consumer Protection with immediate effect.

The average retail price of tur across India rose 19 percent to 122.68 per kg on June 2, from 103.25 per kg a year ago. Similarly, the average retail price of Urad rose 5.26 percent to Rs.110.58 per kg in the said period from Rs.105.05, according to data managed by the ministry.

“Under this regulation, holding limits for tur and urad have been imposed for all states and union territories until October 31, 2023,” Consumer Affairs Minister Rohit Kumar Singh told PTI.

According to the order, a storage limit of 200 tons each in Tur and Urad was set for wholesalers, 5 tons each for retailers and retail stores, and 200 tons for large retail chains in the depot.

For millers, the inventory limit is the last three months of production or 25 percent of annual installed capacity, whichever is greater. While importers are not allowed to hold inventory for more than 30 days from the date of customs clearance, there is an official statement.

The Ministry has asked the respective legal entities to report the stock levels on the Ministry of Consumer Affairs portal (https://fcainfoweb.nic.in/psp) and in case the stock levels they hold are higher than the prescribed limits , then they must reduce these to the prescribed storage limits within 30 days of the notification being given.

The introduction of supply restrictions on tur and urad is another step in the government’s consistent effort to crack down on the prices of essential commodities.

The Ministry of Consumer Affairs has been closely monitoring Tur and Urad’s stock position through a stock disclosure portal and has verified it with state governments on a weekly basis.

Extensive discussions were held with various stakeholders such as importers, millers and retailers to ensure disclosure of stock levels, including visits by senior officials to Karnataka, Madhya Pradesh, Maharashtra and Tamil Nadu to assess the situation on the ground.

The country’s tur production in crop year 2022-23 (July-June) is expected to be lower than 4.22 million tons last year, while urad production is expected to have declined to 2.61 million tons from 2.77 million tons, according to the third estimate of the Department of Agriculture.

Related Articles

Back to top button