India desi chickpea & lentil imports, prices and demand/
9 insights with Sahil Agarwal

Desi Chickpea Imports into India

• “The harvest in India is delayed by at least a month due to excess soil moisture in South India. Chickpea demand is anticipated to improve, and it's advisable for Australian growers to hold back their sales before the Christmas break.”

• “Most importers have booked cargoes at $820+ levels, and current numbers have started to pinch. However, the present market scenario is hinting at the market bottoming out and making it a healthy zone to average-out high priced contracts.”
  
  

Seasonal Price Fluctuations and Demand

• “India experiences festivals throughout the year and is entering the peak wedding season, where chickpeas are a mandatory part of buffets. January and February 2025 will host Kumbhmela, an important religious event attracting at least 400 million devotees, making that part of India a hotspot for pulses and cereals.”

• “Additionally, there will be demand from farmers for seeding purposes. The market is expected to be supportive of prices, and current offers from Australia are considered too lucrative to miss.”
  
  

 Red Lentil Imports and Local Harvest

• “Canada is facing challenges with port issues. Some exporters who sold crimson at low $620s CFR India are invoking the force majeure clause. Australia is likely to prioritize executing high-priced chickpeas contracts over shipping nippers. It's too early to comment on India's local crop.”

• “Growers at origin are not selling aggressively, and packers are keeping them busy for their bulk requirements. The shipping stem is under stress, and container availability may not match demand.”

• “Currently, lentils are duty-free until March 2025. Unless there's a new notification from the Government of India, selling anything with ETA beyond March 31st, 2025, is considered a gamble.”
  
  

The Outlook Going Forward

• “As per the market swing this week (Nov 19) offers from origin have improved by approximately $20 from where they were last week. Harvest pressure is setting off and growers are now storing their produce in the bins instead of offering it with smaller margins.”

• “Most vessels that were under offer for India are on the verge of being sold out. As the spaces in ships are filling up quickly, exporters are reluctant to offer cheap and sit tight with whatever limited unsold stock they might have. Also, since the vessel slots are all exhausted, there is no possibility of adding more ships in the queue, meaning that the supply is fixed and demand is still unsatisfied.”