Government of India Implements Stock Limits on Tur and Urad Dal to Curb Hoarding and Ensure Affordability

New Delhi, 2nd June 2023: In a bid to curb hoarding and speculative practices while promoting affordability for consumers, the Government of India has implemented stock limits on tur dal and urad dal. The new order, titled the Removal of Licensing Requirements, Stock Limits and Movement Restrictions on Specified Foodstuffs (Amendment) Order, 2023, comes into effect immediately.

Under this order, stock limits have been set for tur and urad dal until 31st October 2023, applicable to wholesalers, retailers, big chain retailers, millers, and importers across all states and union territories. The prescribed stock limits vary for each category: 200 metric tons (MT) for wholesalers, 5 MT for retailers, 5 MT per retail outlet and 200 MT at depots for big chain retailers, and the last 3 months of production or 25% of annual installed capacity (whichever is higher) for millers. Importers are required to dispose of imported stock within 30 days from the date of Customs clearance.

To ensure compliance, the concerned entities must declare their stock positions on the Department of Consumer Affairs’ portal (https://fcainfoweb.nic.in/psp). If the stocks held exceed the prescribed limits, they must bring them within the specified limits within 30 days of the notification.

The imposition of stock limits on tur and urad dal reflects the government’s ongoing efforts to address soaring prices of essential commodities. The Department of Consumer Affairs has been closely monitoring the stock position of these pulses through a dedicated stock disclosure portal, conducting weekly reviews in collaboration with state governments. In addition, extensive interactions have taken place with stakeholders such as importers, millers, and retailers to ensure transparent disclosure of stocks. Senior officers have also visited states like Karnataka, Madhya Pradesh, Maharashtra, and Tamil Nadu to assess the ground situation.

The government’s decisive action to regulate stock limits aims to stabilize prices and improve the availability of tur and urad dal in the market. By curbing hoarding and encouraging transparency, it strives to create a more equitable and accessible food distribution system for the benefit of consumers nationwide.