Govt extends export ban on pulses

India, the world’s biggest producer and consumer of pulses, has extended ban on pulses exports until further orders, Agriculture Minister Sharad Pawar said on Tuesday, as it battles to rein in high food prices.

The government had in June 2006 banned exports of pulses, which has a weight of 0.72 per cent in the wholesale price index.

India’s food price index rose 12.13 per cent in the year to December 11, government data on Thursday showed.

The government has also decided to extend the imports of duty-free pulses “until further order”.

India’s annual pulses demand is pegged at over 18 million tonnes, while production in 2009/10 was at 14.6 million tonnes, making the country a net importer.

India has also extended stock limit on sugar for three additional months as crushing got delayed due to unseasonal rains. The stock

limit was to expire on December 31. “There will be comfortable position in sugar. We are expecting 24.5 million tonnes sugar output this year as against demand of 22 million tonnes,” said Pawar.

The farm minister also said the federal government had allocated additional 5 million tonnes of grains to states in an attempt to check rising food prices. The government has allocated 2.5 million tonnes of rice and wheat to poor families, and an equivalent quantity of the grains to families above poverty line.

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