Perseverance and curiosity/
Felipe Sandoval on what it takes to be successful in pulses trading

We caught up with Felipe to discuss the challenges and opportunities in the industry and the values needed to stay on top of the game.

How did you start in the pulses industry?

My story with pulses began almost 15 years ago but I have been trading since 1998, right after I finished my major in marketing. I traded in antique furniture reproductions, mobile phones, insurance and cars until I found my passion: trading pulses. I have always been lucky in that I’ve been surrounded by great people within the industry who inspired me and, coupled with my own curiosity, openness and patience, have allowed me to develop and grow up in this exciting industry. I believe that passion, conviction, perseverance and an open mind are what allow you to to turn any job into a lifestyle. I like to do what I call “BED”: Better Every Day.

Tell us a little about the history of BeGrait.

The story of BeGrait begins 6 years ago. It derived from curiosity and the desire to continue learning about the pulses industry and play in the major leagues, meeting and interacting with the best in the industry. It all started as a dream on which I continue to work day by day with patience and perseverance, enjoying every moment. I often feel like a rookie! A little kid with a dream who’s sharing the field with the big guys.

Today, this dream is still developing its foundations, always trying to adapt to the times and the ways of doing business today. Now BeGrait trades grains, pulses and other dry food products. We do our own commercialization in the domestic market, we have brokerage services on exports from Mexico and imports for the Mexican market and we do market analysis and consultancy.

What are the biggest challenges in maintaining your business?

I would say understanding the complexity and uniqueness of each product and each market, which have different cultures and customs. Purchasing and consumption patterns derive from this, and understanding that helps us to define accurate strategies. Detecting trends and signals in the market and interpreting them correctly is an essential skill to make the best possible decisions and at the right time.

Begrait does trade with countries on various continents. What are the peculiarities of each one?

Each company is different, each one has its own personality and charisma, but on each continent and in each country you will find people and companies with their different ways of doing business. I love everything in this lifestyle, meeting people, cultures, making good friends is easy. Although what makes them similar are the products they buy, due to their idiosyncrasy, culture, preferences and use, each one is different and unique.

What is it like doing business in the UAE?

It is the market where you have to be, the city that many of us once dreamed of visiting and being able to do business with. You can feel the cosmopolitan atmosphere just from a simple walk through the shopping malls or a visit to a touristic spot. The characteristic sights and smells of the markets on Al Ahmadiyah street really invite you to get lost in the exciting world of pulses trading. It is easy and pleasant doing business in such an environment. People in Dubai are demanding but ultimately very good customers; they respect their deals.

You only work with a few varieties of beans (white and yellow) - why them and are you considering including more varieties?

We have exported white beans from Mexico to European and Asian markets but also yellow beans in Peru and the United States. We work with these two varieties because they are the ones that are produced in the area of Mexico, where I am. In Mexico, more exportable varieties are produced such as pinto and black beans and we are taking steps to venture into these products in partnership with other Mexican companies.

Last year you provided pretty accurate forecasts, how do you ensure precision in your predictions?

I have always been an honest and clear person, analytical and observant. I like to connect the dots, intuit, imagine and pose scenarios; one of my hobbies is doing jigsaw puzzles. Through the years I have learned many things from great teachers. I am a professional with great passion but I’m not passionate and this allows me to give an objective point of view according to official sources, interviews with experts, measurement of seed sales and field trips in key areas. In this way, I can assess and issue an informed opinion like the one I said last year.

What has changed from last year in the chickpea market?

Global stocks will fall to very low levels after several years of having too much stock, because of what I call the ‘chickpea fever’, like the gold fever in California in the mid 1800s. This is going to impact prices around the world. The next world production cycle of chickpeas will be more stable after the last few years of turbulence and market instability.

What price trends have you noticed since the pandemic?

Most grains and pulses have seen an upward price trend since the pandemic due to panic buying, because they have a long shelf life and this is coupled with the low production of many foods. But today we have to take into the account that the consumer has lower purchasing power than before the pandemic.

How do you see the future of pulses in a world where meat consumption is increasingly problematic due to its impact on the environment?

Pulses consumption will keep increasing because of a general healthy eating trend and the growing popularity of the vegan lifestyle. On our side, we have to be able to hear and observe any new consumer trends and develop new products, new distribution channels, better packaging, etc. in order to fulfill demand.

What are the main foreign policy developments currently impacting the grain market?

Each country has its regulations, both tariff and non-tariff in international trade and many of these regulations move according to the internal supply-demand situation of the importing country. There are countries that weigh heavily on certain products, and changes in their regulations in tariffs, volumes or quotas, etc. impact the price of goods, either up or down. For example, India can move the market for lentils, chickpeas, among other products. If India restricts the import of lentils, its effect will be reflected, most likely downward, and in turn, it may have a collateral effect even on some substitute products for lentils.

In your opinion, where do we have to look to understand what the future holds for the pulses market?

We must understand that the world is changing and globalization is increasingly rapid. The media has accelerated the dissemination of information like never before; today, we can instantly find out what is happening anywhere in the world with the click of a button. The climate is changing, which is in turn changing the agricultural environment and affecting production with unexpected weather events such droughts, floods and frosts happening much more often than before. Consumers are also changing their purchasing patterns and consumption habits and there is a greater interest in consuming healthy products that are kinder to the environment. In addition, the consumer has never had so much power over brands and products as it does today and this empowerment is in part due to social networks. Anticipation, empathy, flexibility and simplicity are all vital factors for success today.

Where do you spend your free time? What are your favourite moments outside of work?

I like spending time with my family. I’m a grill master and also love preparing seafood. I like running: I’m a 9-time marathoner and will keep running while I can.

We like to know good stories, tell us something funny or interesting that has happened to you throughout your time in the pulse industry?

Once I was at an event in Santiago de Chile and during the welcome cocktail I met some people and we exchanged business cards. There was one person who read my card and then asked me: “How do you prefer to be called, Mr Paseo or Mr Miguel?” and I laughed and said to her, “That’s the name of the street where my work is: Paseo Miguel Leyson!” We both laughed about it and to date, we are very good friends. Hi Claudia!