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India imposes 30% tariff on Canadian yellow pea imports

Canadian yellow pea producers will now face tariffs in both of their main export markets after India announced a 30% duty on all imported yellow peas starting November 1. The move follows China's earlier decision in March to impose a 100% tariff on Canadian yellow peas, which was viewed as retaliation for Canada's tariffs on Chinese electric vehicles.

In a letter to federal ministers of agriculture and international trade, Saskatchewan's Agriculture Minister Daryl Harrison urged Ottawa to negotiate immediately with India. "These trade disruptions impact the entire supply chain and are having immediate consequences for producers, businesses, and jobs," wrote Harrison. "We need to get back to tariff-free trade."

Pulse Canada president Greg Cherewyk said the association had anticipated a possible tariff since early September but did not expect it to be implemented so soon. He explained that, unlike China's retaliatory tariffs, India's decision was driven by domestic policy objectives. The Indian government stated that the new tariff aims to curb cheaper imports and protect local farmers.

Cherewyk said the tariff poses major challenges for Canadian pea growers. "We've already seen yellow pea prices drop by 43 per cent from February 2025 to the end of September 2025, so it's incredibly significant in terms of value on the farm," he said. The loss of access to India and China removes major outlets for millions of tonnes of Canadian peas.

While domestic processing capacity has expanded, allowing growers to sell to the pet food and livestock feed industries, Cherewyk said those markets cannot replace demand from India and China. "It's important to note we're working, it's incremental, the growth is there, but it isn't going to replace those markets overnight, and it should never be looked at as an either-or," he said.

Harrison noted that India and China accounted for 71% of Canadian pea exports, with Saskatchewan alone exporting about US$348 million (C$480 million) worth of peas to India in 2024. The new tariffs are expected to further pressure Canadian pulse growers as the marketing year continues.

Source: Canadian Press

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