India to provide incentives for chickpea exports

India will offer incentives for chickpea exports for three months, the government said on Thursday, as prices have plunged in the past six months on expectations of a record production this year.

Exporters will get a 7 percent incentive of the value of the shipment, the government said in its order.

Chickpea prices have fallen 38 percent in the past six months to a three-year low in the world’s biggest producer and consumer of the pulse, also known as chana.

On Thursday, chickpea futures provisionally closed at 3,673 rupees ($56.42) per 100 kg, compared with the government-fixed support price of 4,400 rupees.

India’s chickpea production is likely to jump 18.3 percent to a record 11.1 million tonnes in 2017/18.

The country, which imports chickpeas from Australia, Russia and Tanzania, recently raised the import tax on the pulse to 60 percent to protect local farmers.moneycontrol

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