Early shipments of Australian chickpeas, faba beans, and lentils are well underway, driven by strong export demand and high-quality produce destined for South Asian and Middle Eastern markets. Shipping data indicates that over 1 million tonnes of the forecasted 1.9 million-tonne chickpea crop by ABARES have been exported from October to January, marking the first third of the marketing year. Similarly, around 300,000 tonnes of lentils from the total 1.1 million-tonne crop are expected to be shipped by the end of the month, with approximately half of the 700,000-tonne faba bean crop leaving Australian ports by the end of March.
The demand for shipping slots has led to a unique occurrence of a combined cargo of chickpeas and lentils being loaded at Louis Dreyfus Company’s Emerald terminal in Melbourne, a departure from the facility’s usual wheat, barley, and canola shipments. Additionally, a vessel bound for Sri Lanka loaded chickpeas in Brisbane before topping up at Qube’s Quattro facility in Port Kembla, showcasing the diverse export opportunities for Australian pulses.
In terms of pricing, chickpeas delivered to Brisbane have seen a decrease from $930 per tonne in mid-December to $890-$920 per tonne as traders rush to ship the remaining vessels to India before the expected end of the tariff-free period on March 31. Speculation surrounds the extension of this period, especially after the Indian government announced an extension for pigeon peas until March 2026. If India reinstates tariffs on chickpeas in April, demand will pivot towards Bangladesh and Pakistan, with containerized sales primarily targeting Nepal and the United Arab Emirates.
Growers in Queensland and central and northern New South Wales have prioritized selling chickpeas over wheat and barley, with minimal unsold chickpeas remaining in the market. Despite some rain affecting later chickpea crops in NSW, the overall impact on the national crop is expected to be minimal. Growers are now focusing on selling sorghum as the harvest commences in northern NSW and southern Queensland.
The recent surge in chickpea shipments has seen a record 10 eastern Australian terminals load chickpeas, including new bulk loading operations at Port Kembla and Melbourne. This shift underscores the flexibility of Australian ports to accommodate changing export demands and capitalize on opportunities presented by the global market.
Faba beans, trading at around $630 per tonne delivered port, have maintained stability in pricing driven by spot demand for cargoes heading to Egypt. Despite a modest southern harvest due to dry conditions, central and northern NSW, and southern Queensland have compensated for the shortfall, ensuring consistent export volumes for the market. Shipping stems indicate upcoming cargoes departing from Adelaide, Geelong, and Brisbane, reflecting the ongoing demand for Australian faba beans in international markets.
Lentil prices have remained steady, with Nipper types trading at around $870 per tonne and Jumbo types at $940 per tonne. Grower selling has recently picked up following a lull around Christmas, with South Australia experiencing reduced lentil crop sizes in certain regions due to harsh weather conditions. Quality assessments from Victoria have been positive overall, with a majority of the crop meeting grade standards. Off-spec lentils are likely to be exported to India and Sri Lanka via containers or bulk shipments, depending on the volume.
As the South Asian markets receive Australian and Canadian lentil cargoes, demand for Australian lentils remains robust. Approximately one third of the crop has been exported, with the rest stored on farms awaiting favorable market conditions. Market fluctuations, potentially influenced by currency changes due to global events like the new US administration, could impact future sales and export strategies for Australian lentils.
In conclusion, the Australian pulse export market is experiencing a dynamic period driven by strong demand, quality produce, and strategic shipping operations. The adaptability of Australian ports and the proactive approach of growers and traders are key factors in maximizing export opportunities and maintaining a competitive edge in the global pulse market.
