Centre warns of action against forward trade to ensure sufficient availability of pulses

In anticipation of the upcoming operationalisation of online stock monitoring from April 15, 2024, government has issued a warning against forward trading, a practice that distorts the market, to ensure sufficient supplies of pulses in the country.

Consumer Affairs Secretary Nidhi Khare has taken proactive steps to ensure the smooth availability of pulses in the country, according to an official statement.

A key takeaway from the meetings is the focus on increased transparency and stock monitoring. Importers, millers, stockists, and retailers will be required to declare their pulse stocks, including imported Yellow Peas, on a weekly basis.

This declaration will be made mandatory on the online portal https://fcainfoweb.nic.in/psp/ starting from April 15, 2024.

During the meeting Khare addressed challenges concerning pulse imports from Myanmar. These challenges included the impact of recent exchange rate adjustments on import prices and the current availability of pulses among Myanmar exporters.

The Indian Mission informed that the Rupee Kyat Settlement Mechanism has been operationalized since January 25, 2024, aiming to simplify trade transactions and enhance efficiency. Guidelines for payment procedures under the Special Rupee Vostro Account (SRVA) were released by the Central Bank of Myanmar on January 26, 2024. This mechanism is applicable to both sea and border trade, covering goods as well as services.

To facilitate the adoption of this mechanism, trading communities, especially pulses importers, are being encouraged to utilize the Rupee/Kyat direct payment system using SRVA through the Punjab National Bank.

In a bid to ensure accurate stock monitoring, importers and other industry players, including millers, stockists, and retailers, have been instructed to truthfully declare their pulse stocks, including imported Yellow Peas, on a weekly basis starting from April 15, 2024. States and Union Territories have also been urged to enforce weekly stock disclosure by all stockholding entities and verify the stocks declared by them.

Additionally, warehouses located in major ports and pulses industry hubs will undergo regular verification to ensure compliance. Strict actions will be taken against entities found to be providing false information on the stock disclosure portal.