India -- 30% Duty on Lentils and Chickpeas

NEW DELHI - Dec 21/17 - SNS -- India is eliminating the duty exemption for chickpeas and lentils, with duties of 30% applying to all imports effective today.

As was the case with field peas, the change is expected to result in the diversion of afloat cargoes to other destinations because the goods will not be price competitive with product which has already been cleared through customs.

Import duties on chickpeas and lentils were widely expected. But, the delay created hopes that the Indian government felt both the supply situation and pace of imports was such that duties were not needed.

During the 2016-17 rabi cropping season, India's farmers planted 9.9 million hectares of chickpeas and 1.67 million hectares of lentils. The harvest was pegged at a record 9.33 million metric tons (MT) of chickpeas and 1.22 million MT of lentils.

Seeding of this season's rabi crops is still underway. Progress through December 15 suggests land in chickpeas could reach 10.4 million hectares and lentils 1.76 million. Average yields would result in a 9.48 million MT chickpea and 2.37 million lentil crop.

If kabuli chickpeas are included in the gram area estimate instead of the other pulses category, production of desi chickpeas could drop between 200,000 and 400,000 MT.