India Extends Zero Duty Import of Pigeon Pea and Black Matpe, Retains 30% Tariff on Yellow Peas Till March 2027

Why It Matters

The extension secures affordable pulse supplies amid falling domestic output, protecting farmer incomes and stabilizing a key food‑price component in India’s large market.

Key Takeaways

• Duty‑free imports of tur and urad extended to 2027
• Yellow peas retain 30% tariff through March 2027
• Import volumes expected around 5 million tonnes FY 2026‑27
• Domestic tur production down 4.7% year‑over‑year
• El Niño and Middle East war raise supply risk

Pulse Analysis

The Indian government has renewed its duty‑free import regime for pigeon pea (tur) and black matpe (urad) until 31 March 2027, while keeping a 30 percent tariff on yellow peas. This decision follows the expiry of the previous policy and reflects concerns over declining domestic output and volatile weather patterns. By guaranteeing a predictable import framework, the authorities aim to smooth supply gaps that could arise from an anticipated El Niño‑driven shortfall and from heightened freight costs linked to the ongoing conflict in West Asia. Analysts expect total pulse imports to hover near five million tonnes in the 2026‑27 fiscal year.

For Indian pulse growers, the extension offers a safety net against price shocks. Duty‑free tur and urad can be sourced cheaply when rains falter, preventing steep domestic price spikes that would hurt smallholders. Conversely, the retained 30 percent duty on yellow peas preserves a modest protective barrier for local yellow pea producers, who have already seen a modest decline in imports. The policy also aligns with the Directorate General of Foreign Trade’s move to remove minimum import price conditions, simplifying logistics and reducing administrative burdens for importers.

Globally, India’s status as the world’s largest pulse consumer makes its import stance a bellwether for international markets. Continued duty‑free access to tur and urad may boost demand for exporters in Canada, Australia and Africa, while the higher tariff on yellow peas could redirect trade flows toward alternative destinations. Investors monitoring agricultural commodities will watch how the policy interacts with broader macro‑factors such as currency fluctuations and freight rate volatility. Should domestic production recover, the government may reassess duties, but for now the extended regime provides market stability through 2027.