processed dal August 4 Prices of processed dal likely to fall by Rs2kg

  • | Tuesday | 7th August, 2018

Leading industry players said the prices of processed dal will drop by about Rs 1.5 per kg to Rs 2 per kg since the local mandi tax has been removed. Indore: Prices of processed dal are expected to come down in coming weeks owning to exemption of mandi tax on raw pulses purchased from outstations for processing.Madhya Pradesh government has exempted pulses from 2.2% mandi tax. The cost of purchase and operations will reduce significantly.”Dal mills purchase raw pulses from the market and then process it into dal of various grades. On processing 60% comes out as dal, while 25% goes as cattle feed and the rest is wasted, industry experts said.Dal millers said the market for locally processed dal will expand with the rate cut due to competitive prices. But the exemption will support the processing units and reduced their cost of operations.”Indore is a major trading centre for pulses with presence of over 150 dal mills.

Indore: Prices of processed dal are expected to come down in coming weeks owning to exemption of mandi tax on raw pulses purchased from outstations for processing.Madhya Pradesh government has exempted pulses from 2.2% mandi tax. Leading industry players said the prices of processed dal will drop by about Rs 1.5 per kg to Rs 2 per kg since the local mandi tax has been removed. The exemption is valid on all pulses- tur, urad, moong, matar- except chanaAll India Dal Mills Association president Suresh Agrawal said, “Processing units were running into losses due to such a high mandi tax. But the exemption will support the processing units and reduced their cost of operations.”Indore is a major trading centre for pulses with presence of over 150 dal mills. The state had around 700 dal mills.Agrawal said, the exemption will save dal mills that were going to shut down because of high rate of purchase and lack of price parity.Industry players said, supplies of processed dal from outstations have captured the local market due to comparatively lower prices.According to the dal mills association, Madhya Pradesh levies the highest rate at mandi tax while Rajasthan and Maharashtra levies 1.60 per cent and 0.90 per cent of mandi tax respectively.Sujay Kabra, a dal processer said, “With the exemption dal processed in the region will become competitive with other states. The cost of purchase and operations will reduce significantly.”Dal mills purchase raw pulses from the market and then process it into dal of various grades. On processing 60% comes out as dal, while 25% goes as cattle feed and the rest is wasted, industry experts said.Dal millers said the market for locally processed dal will expand with the rate cut due to competitive prices.

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