Australia has sharply increased chickpea and lentil exports in anticipation of El Niño

According to the Australian Bureau of Statistics, Australia exported 27,260 tonnes of chickpeas and 198,368 tonnes of lentils in May, according to Grain Central. Compared to April figures, May chickpea exports increased by 37%, while lentil exports more than doubled.

The main destinations for chickpeas in May were Pakistan (15,069 tonnes), India (4,047 tonnes), and Bangladesh (3,460 tonnes). Lentils were shipped to Bangladesh (72,692 tonnes), India (53,444 tonnes), Pakistan (36,000 tonnes), Sri Lanka (23,647 tonnes), and other countries.

The closure of the Strait of Hormuz impacted shipments to the United Arab Emirates: chickpea exports fell from 9,000 tonnes in April to 125 tonnes, while lentil exports fell from 36,176 tonnes to zero.

Peter Wilson, an independent broker in the Darling Downs region, stated that there was an unexpected surge in shipments in May in anticipation of large lentil harvests, first in Canada and then in Australia. “I think there was a buying campaign ahead of the new Canadian crop coming onto the market,” Wilson said.

Last week, the World Meteorological Organization confirmed its forecast for a strong El Niño by September. Peter Wilson noted that concerns about its impact on the Australian harvest, as well as the impact of monsoon rains on the Indian chickpea crop, are on the market’s radar. “People are watching the monsoon, and the Indian government will be watching it too,” he said.

Although heavy rains are currently falling on the west coast and in northern India, June, the first month of the monsoon season, has brought relatively little rainfall to most of the country.

“In Australia, the critical phase of chickpea development is next month, and lentils a few weeks later, so we’re also keeping an eye on the El Niño weather pattern,” added Peter Wilson.

He described the chickpea and lentil markets as “a bit sluggish.” “We’re not seeing really strong demand.”

Lentils are currently trading at around $515 per tonne CFR for delivery to major South Asian ports, down about $70 per tonne from March-April levels. Australian producers have increased sales volumes amid the softening market.

Tags: chickpea, pulses, lentil, Australia