India imposes duties on chickpeas and lentils

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WINNIPEG — India is introducing 30 per cent tariffs on imports of chickpeas and lentils, the government announced today.

The import duties follow the 50 percent tariff on yellow peas that India introduced in November, and come as part of ongoing efforts by India to support farmers.

“Production of chana (chickpeas) and masoor (lentils) are expected to be high during the forthcoming rabi season, and cheap imports, if allowed unabated, are likely to adversely affect the interest of the farmers,” said the Indian government in a news release, adding that the import duties were imposed in order to protect farmers.

Reports out of India show that domestic chickpea prices already rose by four percent in response to the announcement.

Today india imposed a duty of 30% on lentils and chickpeas following a duty on peas of 50%. Food affordability and availability is a paramount concern. Govts should stay away from food. Let markets function. Canadian farmers are resilient. We will still flourish. #agstrong

— Murad Al-Katib (@muradagtfoods) December 21, 2017

India imported 57,400 tonnes of Canadian lentils from licensed elevators during the first three months of the current crop year, according to Canadian Grain Commission data. That’s down from 170,100 tonnes during the same time period the previous year. No Canadian chickpea sales to India have been reported yet this marketing year.

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Comments

Jack Harper

India is correct to add these tariffs. If the role was reversed Canada would do the same.
- Dean
  
  So are you saying that Canada should do the same thing? The role was reversed as soon as India slapped the tariff on yellow peas, our price dropped by $2 per bushel, or 25%. We are now losing money on our yellow peas.
  - Bruce
    
    Jack, didn’t say Canada should but would. I highly doubt you,Dean, would want India to ship their extra peas to Canada.
James Hunter

Canada should retaliate against India with duties on all rice imports on Rice and rice products and impose a 50 percent duty. This would make India take notice. Canada can import rice from any number of Countries who would be happy to take that market from India.
- Harold
  
  Canada is in the punishment business; a police state? I am sure that anyone would be leaping in joy to do business with Canada. Is that the same as holding a gun to one’s head and India has a problem because Canada produced too much? Where will you put your gun when Canada produces nothing? Privilege comes with responsibility. India does not owe us the loss of their Industry or the loss of any of their Jobs. Let’s make this very simple; you grow carrots on your farm and someone comes onto your farm to sell you carrots; who is the fool? Your farm would become a carrot stand rather that a producer. What does a tariff on imported carrots do?