In most Tamil Nadu homes, a meal without sambar or a breakfast without idli and dosa is hard to imagine. Both depend on the two pulses that have become much more expensive this season: tur dal and urad dal. That is why the Centre's approval of stock limits on these two pulses is more than a routine regulatory step. It affects what millions of families spend on food every day.
The Centre has authorised Tamil Nadu to impose stock limits on tur and urad dal to curb hoarding and contain rising prices. The approval follows the state government's request for restrictions on storing essential commodities.
The numbers explain the state's urgency. Tamil Nadu recorded retail inflation of 6.81 per cent in September, the highest among all states, while food prices rose 10.62 per cent.
Pulses have been a particular problem. In September, the average retail price of tur dal in Tamil Nadu was Rs 134.23 per kg. The national average was Rs 124.41, so consumers in the state were paying Rs 9.82 more per kg. Prices kept rising after that. In October, tur dal sold for Rs 143 per kg and urad dal for Rs 128. Current retail prices are Rs 153.43 and Rs 139.67 per kg, respectively.
Put simply, tur dal has risen by more than Rs 19 a kg since September, an increase of roughly 14 per cent in about two months. For a family that buys dal every week, that adds up quickly.
How the limits will work
The restrictions apply at every level of the supply chain:
- Wholesalers can hold up to 200 tonnes each of tur and urad.
- Retailers and large retail businesses can keep up to five tonnes of each pulse.
- Pulse mills can hold stocks equal to their average processing over the previous three months or 25 per cent of their annual processing capacity, whichever is higher. This lets mills keep enough for regular operations without building up excess inventory.
- Importers cannot keep consignments for more than 45 days after they arrive in India, so imported pulses reach the market quickly instead of sitting in warehouses.
The aim is to stop traders from accumulating too much stock, discourage artificial shortages and keep supplies available in the market.
Why only two pulses made the cut
Tamil Nadu had also asked the Union Consumer Affairs Ministry for permission to impose stock limits on rice, edible oils and onions as part of its effort to contain food inflation. The Centre has so far approved restrictions only on tur and urad.
Onion prices are falling in Tamil Nadu and several other parts of the country, so curbs on onion stocks were considered unnecessary. The Centre has not yet approved stock limits on rice and edible oils.
The selective approval suggests the Centre wants to act only where price pressure is clear, rather than impose broad controls that could disrupt normal trade.
The real test is whether retail prices actually fall. Stock limits can release hoarded supplies, but they cannot fix a shortage in production or imports. In the coming weeks, it will be clear whether this is the relief Tamil Nadu needs or whether rice and edible oils also need attention. Until then, families in the state will be watching the price of dal closely.
With inputs from IANS
