The retail price of pulses shot up in May and dipped in September concerning the earnings of farmers.
A 34 per cent rise in the acreage of pulse production has coincided with a recent dip in the sky-rocketing prices of pulses.
While consumers have welcomed the drop in prices, there grows a concern over the fate of farmers who have produced dal, riding on expectations of high profits. The price of Moong dal has already fallen below the Minimum Support Price.
One of the consumers, Sunil, who was out to buy groceries for his home, said, "Around five months ago, the price of dal was almost Rs 170 - Rs 160 and now we get great dal in Rs 140."
The retail price of pulses had shot up in May. The prices dipped in September from Rs 156 to Rs 119 for Tur, Rs 170 to Rs 140 for Urad and Rs 103 to Rs 87 for Moong in Delhi.
Experts suggest the drop can be attributed to the expectation of a bumper crop this season.
"Markets go by expectations. So within a month when the crop starts coming in, you will have a situation where prices will be much lower than the prices at which people were holding stocks," said agricultural economist Ashok Gulati.
The stock traders had kept with them, would now be sold to get the best price they can, he added.
To ascertain if the expectation of a glut this season was contributing to offloading by traders, NDTV met an executive member of the Delhi Grains Merchant Association.
"Since the monsoon is expected to be good, I have reduced the number of sacks of pulses I keep... 100 sacks to 50 to 20 sacks... and will move to daily production and stocking," said Sameer Garg.
Minister of food and public distribution Ram Vilas Paswan has already warned traders against keeping stock.
"The country will have a bumper production of pulses and hoarders will not get anything. They should sell their stocks in the open market as production will be high this year," he said.
The government has asked for dal to be procured by multiple agencies to prevent a price surge this year.