Dal mills hope high retail demand this festive season

A rise in demand for pulses in market has pushed processing capacities of dal mills hoping for higher retail consumption in the festive months.

Dal mills have enhanced processing capacities and purchases as consumption of pulses has jumped in the retail markets, said industry players.

All India Dal Mill Association secretary Dinesh Agrawal said, “Consumption of pulses has gone up and this has given a fillip to processing activities in dal mills. Mills have increased processing to cater to rising demand. But spike in rates of tur and urad has hiked the operative cost.”

Dal mills said demand for pulses in the retail market is expected to remain firm in the festive season.

Prices of tur dal has jumped to Rs 130 per kg from Rs 115 per kg, urad Rs 100 from Rs 90 per kg, chana Rs 70 from Rs 60 per kg and moong Rs 90-100 from Rs 85 per kg.

Madhya Pradesh is a major centre for dal mills with around 700 mills in the state of which 160 are in Indore.

All India Dal Mill Association has demanded to exempt mandi tax of 1.70 per cent on pulses purchased from other states for the purpose of processing.

The association president Suresh Agrawal said, “Madhya Pradesh government has exempted tur from mandi tax and we are demanding the government to extend exemption on all other pulses like urad, moong, masoor and matar. Exempting pulses purchased for processing purposes will give a boost to mills and increase their competitiveness in the market.”

Members of the association in its annual general meeting held on August 20, have sought exemption from mandi tax and urged the government to give priority to mills in importing pulses.

The association also suggested that the National Agricultural Cooperative Marketing Federation of India, an apex organisation of marketing cooperatives for agricultural produce in India, should give priority to dal mills for selling pulses as they purchase pulses for processing.

This article has been republished from The Times of India.