India has extended its exemption of 50 per cent duties on yellow pea imports by another two months.
On Friday, India’s directorate general of foreign trade published an order delaying the expiration of the import tariff exemption from October 31, 2024 to December 31, 2024.
The Indian government originally lifted the prohibitive duties on pea imports in December 2023. That exemption expired in spring 2024, but was extended to the end of October.
Yellow pea prices in India dropped sharply after the duty was removed last winter and remain deflated. However, the Indian government is likely trying to offset high prices in the much larger desi chickpea market, writes Chuck Penner of LeftField Commodity Research in his latest Pulse Market Insight column for the Alberta Pulse Growers.
“While that’s good news, it won’t necessarily trigger a boom for the Canadian yellow pea market. Prices in India are still low and that will limit how much prices can rally here,” says Penner.
Prior to the tariff taking effect in November 2017, India was traditionally Canada’s largest market for peas, accounting for more than 40 per cent of Canadian exports.
India’s import policies and the impact on pulse crop markets will likely be one of the topics as around 400 pulse industry stakeholders are meeting in Winnipeg this week for the annual Pulse and Special Crops Convention.
