Government simplifies payment mechanism for traders importing pulses from Myanmar

The government has announced the simplification of the payment mechanism for traders importing pulses from Myanmar. Importers are now directed to use the Rupee/ Kyat direct payment system using Special Rupee Vostro Account (SRVA) through Punjab National Bank. This decision comes as India relies on imports of pulses, specifically tur and urad dals, from Myanmar to meet domestic demand.

Consumer Affairs Secretary, Nidhi Khare, discussed with the Indian Mission in Yangon regarding issues related to pulses imports from Myanmar, including import prices and stocks held by importers in Myanmar. The Indian Mission informed the secretary about the operationalisation of the Rupee/Kyat Settlement Mechanism on January 25, 2024, to simplify trade transactions and enhance efficiency.

The Central Bank of Myanmar released guidelines for payment procedures under SRVA on January 26, 2024, aiming to reduce costs associated with currency conversions and eliminate complexities related to exchange rates for traders. The ministry is actively disseminating information about the operationalisation of this mechanism, urging pulses importers to utilize the Rupee/ Kyat direct payment system through Punjab National Bank.

Furthermore, importers and other industry players are required to declare their stock of pulses, including imported yellow peas, on a weekly basis starting from April 15. The ministry has cautioned against forward trading of pulses and stated that violators will be dealt with firmly as per the Essential Commodities Act. States and Union Territories are also mandated to enforce weekly stock disclosure by all stockholding entities and verify the accuracy of the reported stocks.