Maharashtra to cut back retail margin in tur dal sale

State food and civil supply minister Girish Bapat on Tuesday said that the government was taking steps to ensure that retailers do not get extraordinary profits in tur dal.

The minister said that while prices of tur dal were not more than Rs 120 per kg, they increase substantially in retail market with retailers getting 30-38 per cent profit margins.

While replying to a calling attention motion in the legislative council over the rising prices of tur dal, Mr Bapat said, “The central government has provided a chart to the state government. The chart shows that while the prices in the wholesale market were within acceptable limits, they ratcheted up in the retail market. The chart also shows that retailers are making 30 to 38 per cent profit. We have held a meeting with the retailers’ association to discuss the issue. They too have agreed that profit margins should not be over 10-20 per cent.”

The Opposition also questioned the government’s announcement that it would provide tur dal at PDS shops at Rs 120 per kg. They asked why the PDS shops expected to sell tur dal for Rs 120 when it was available in malls for Rs 99 per kg.

In reply, the minister said, “Tur dal available at Rs 99 per kg in malls is imported from Africa. It is of substandard quality when compared to the dal produced in India. It also takes longer to cook.” He clarified that Rs 120 per kilogram at PDS shops was the maximum price and not the fixed price.

Mr Bapat further added that prices of tur dal would remain stable in the coming days as the production in Maharashtra was expected to increase by 30 per cent.

Besides, the central government has entered into agreements with foreign countries for regular supply of tur dal for the next few years which will ensure that there is no shortage of supply, he said.