Advertisement
India slows lentil imports from Canada amid Sikh separatist killing row
- Industry insiders say importers are worried about the looming possibility of trade restrictions as the two countries’ diplomatic row rumbles on
- Canada was the biggest supplier of lentils to India last year, accounting for about half of all imports. Dealers say they supply a ‘critical need’
Reading Time:2 minutes
Why you can trust SCMP
5
Canada’s lentil sales to India have slowed since Canadian Prime Minister Justin Trudeau said last week he suspected India of involvement in an assassination on Canadian soil, fearing reprisal from New Delhi that could limit trade, industry sources in both countries say.
Trudeau said that Canada was “actively pursuing credible allegations” linking Indian government agents to the murder of a Sikh separatist leader in British Columbia in June. India’s foreign ministry called the allegations “absurd.”
Canada is India’s main import source of lentils, a protein-rich staple used to make daal curry.
Reduced Indian purchases would likely cut the prices Canadian farmers receive during harvest. But such a move could also inflate India’s domestic food prices, which would be politically risky ahead of a national election next year.
After a drop in output, India banned wheat exports last year, followed by a ban on non-basmati white rice this year to preserve supplies of those staples.
“Industry officials are concerned that there could be trade restrictions by the governments owing to current tensions between the countries,” said Nitin Gupta, senior vice-president of Olam Agri India, a major importer.
There are no such plans by India and Delhi has not instructed importers to refrain from purchases, said a senior Indian government official, declining to be named due to the sensitivity of the situation.
Advertisement