DEC 3: In a bid to protect farmers' interests after lifting quantitative restrictions (QRs) on April 1 this year, the Government has now imposed heavy import duties on certain agricultural products.The Commerce Ministry has taken up a number of steps, including heavy import duties imposed on rice, wheat, tea, coffee and vegetable oils, to prevent a glut in their import.Interestingly, though the Government took most of the preventive decisions reportedly under pressure from the RSS - BJP's ideological ally - another Sangh constituent, the Swadeshi Jagran Manch, has threatened to launch agitation and lay seize of major ports to prevent offloading of agricultural products after QRs are lifted from a set of 715 products on April 1 next year.There was absolutely no duty on import of foodgrains like wheat, rice, millets, and negligible duty on tea, coffee and edible oils before the QRs were lifted on 714 items this year as per World Trade Organisation agreement. The Commerce Ministry hiked the duty on rice from zero to 80 per cent, and from zero to 50 per cent on maize, wheat, millet and sourgam - in an apparent move to prevent a flood of import of foodgrains.The Government also hiked import duty on poultry, mutton and chicken legs from 35 per cent to 100 per cent to prevent a glut of chicken legs.According to a confidential Government document, the duty on milk powder too has been hiked from zero to 60 per cent. The import duty on apples has been hiked from from 35 to 50 per cent, arecanut from 35 to 100 per cent and from 27 to 60 per cent on sugar.In view of complaints that import of vegetable oils (especially soyabean oil) affected the domestic industry, the Government also hiked the duty on edible oils by 10 per cent.Union Agriculture Minister Nitish Kumar had recently cited figures to show that import of agricultural products and edible items had instead decreased this year as compared to last year.The Opposition leaders, however, feel the Government is making half-hearted efforts to save the domestic industry. ``The Government can raise import duty on tea upto 150 per cent and cloves, wheat flour and cocoa butter upto 100 per cent. But, it has deliberately not hiked the import duty on such items to their optimum level (bound rate),'' Samajwadi Party chief Mulayam Singh Yadav said.The Government, meanwhile, denies the allegations saying import duties can't be raised arbitrarily on any product. It has to be negotiated with the WTO before being notified and the whole process takes upto two years. Finance Minister Yashwant Sinha said: ``There is no flood of import of agricultural products. We will, if required, impose import duty on items like coconut, rubber and coffee at a higher rate than the WTO bound rates.''
