Govt simplifies payment process for merchant importing pulses from Myanmar

The government announced on Saturday, April 13, that it has streamlined and simplified the payment process for merchants who import pulses from Myanmar. According to a statement from the consumer affairs ministry, importers have been asked to use the Rupee/Kyat direct payment mechanism through Punjab National Bank’s Special Rupee Vostro Account (SRVA).

India imports pulses to make up for the deficit at home. Myanmar is the country’s importer of tur and urad dals. As per the statement, Consumer Affairs Secretary, Nidhi Khare, discussed with the Indian Mission in Yangon on matters concerning the import of pulses from Myanmar, including import costs following changes in exchange rates and stocks held by importers in Myanmar.

According to the ministry, the secretary was notified by the Indian Mission that the Rupee/Kyat Settlement Mechanism became live on January 25 of this year with the goal of streamlining and improving commercial transactions. On January 26, 2024, the Central Bank of Myanmar published instructions for SRVA payment operations. The Indian Mission also informed the secretary that the new mechanism will apply for both sea and border trade and for trade in goods as well as services. “Adoption of the mechanism by traders will reduce costs associated with currency conversions and eliminate complexities related to exchange rates by eliminating the need for multiple currency conversations,” the ministry statement said. The statement further added that dissemination about the operationalisation of this mechanism among trading communities especially pulses importers is being separately done wherein they are being requested to utilise Rupee/ Kyat direct payment system using SRVA through Punjab National Bank.

Meanwhile, the government has asked importers and other industry players like millers, stockists, retailers etc to honestly declare their stock of pulses, including imported yellow peas, on a weekly basis on portal fcainfoweb.nic.in from April 15. The ministry has also warned that anyone found to be indulging in forward trade of pulses would be dealt with firmly as per various provisions of Essential Commodities Act.

States and Union Territories have also been asked to enforce weekly stock disclosure by all stockholding entities and verify the stocks declared by them. Stocks in warehouses located in major ports and in pulses industry hubs should be verified from time to time and strict action should be taken on stockholding entities found to be reporting false information on stock disclosure portal, the statement said. The feedback from the industry and inputs from market intelligence relating to the stock position with various market players have been collated for further verification, it added.

This article has been republished from The Financial Express.