Increase seen in Australian gram prices

26-Nov-2024 09:52 AM

Increase seen in Australian gram prices
The Australian gram market is experiencing some interesting dynamics that could impact both domestic and international pricing. Here's a summary of the situation:

Stable Australian Gram Prices: The Australian gram market price has been steady at $750 per tonne both yesterday and today. However, it's important to note that the price had increased by $20–$30 last week, indicating a slight upward trend.

Delays in Shipments to India: There has been a significant delay in shipments to India, primarily due to labor shortages and logistical challenges. A vessel that arrived at port recently couldn't get a berth for unloading, which led to additional delays.

Impact on Export Shipments: The delay in shipments is expected to affect the export schedule. The first vessel, carrying 20,000–30,000 tonnes of gram, is still waiting to be unloaded. The second vessel, which will carry 30,000 tonnes, is expected to arrive around December 9–10. These delays are contributing to the supply chain issues and are potentially limiting the availability of gram in the Indian market.

Rising Indian Prices: The Indian market had been experiencing a decline in gram prices due to the influx of Australian gram. However, due to the ongoing shipment delays and reduced imports, prices in India are beginning to rise once again. This indicates that a disruption in supply from Australia could push up domestic prices further.

Potential Further Price Increases: If shipments from Australia continue to be delayed or if the logistical issues persist, Indian gram prices could increase even more. This could also put pressure on other suppliers to adjust their pricing strategies.

Uncertainty Around Pea Imports: There is also uncertainty regarding the import of peas into India, which could further affect the market dynamics for pulse crops, including gram. A decision on pea imports is still pending, and any policy changes here could have a knock-on effect on pricing trends for pulses in the Indian market.

Outlook: If shipment delays from Australia continue, combined with potential changes in pea import policies, the price of gram in both Australian and Indian markets could see further increases. Buyers and sellers in the pulse markets will likely need to monitor these developments closely to make informed decisions.