The federal government has turned down exporters' proposal for withdrawal of 35 percent regulatory duty on pulses export due to high prices of the commodity in the international markets sources told Business Recorder on Monday.
The last year government imposed 35 percent regulatory duty on export of pulses due to shortage in the country. It is expected that the current year crops of various variety of pulses including black whole gram will be higher than last year's. This may even cross the government's set target, traders said.
"We are expecting surplus crop of black whole gram by around 0.85 million tons as compared to last year's production of 0.35 million tons," they added.
In the current year, black whole gram production would be 0.2 million tons surplus against 0.3 million shortfall of last year and due to expected bumper crop, traders have demanded of the Minfal to withdraw or cut the regulatory duty on pulses export, they said. But despite bumper crop, the government has rejected the request.
"The government has finally decided not to withdraw or cut 35 percent regulatory duty on the export of pulses," a senior official in the Ministry of food agriculture and livestock (Minfal) said.
He said that after a bumper crop this year, there will no ban on export of various pulses and the government will continue with the 35 percent regulatory duty. This decision has been taken keeping in the view high pulses prices in the international market, where black whole gram price is around Rs 1,500 per mound comparing to Rs 900 per mound in the country, he added.
He said that the exporters have great opportunity to export pulses despite 35 percent regulatory duty on their export due to higher prices in the international market. It is possible for them to export pulses and earn foreign exchange.
"The exporters are free to find the buyers in the international market including India and export pulses on competitive rates," the official said. Earlier, after bumper crop estimates, pulses exporters demanded of the government to withdraw 35 percent regulatory duty on export.
Pakistan is the largest exporter of pulses and during the year 2005.That year Pakistan exported more than 0.175 million tons pulses including 0.15 million tons of black whole gram to India.
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