Lentils: Australian New Crop Status and Impact on India (June 2025)

17-Jun-2025 09:18 AM

Lentils: Australian New Crop Status and Impact on India (June 2025)
★ This month, at least 20mm of rain has been recorded across key lentil-producing regions in South Australia (SA) and Victoria (VIC), significantly improving the outlook for Australia’s new lentil crop.
★ If average yield prospects hold, farmers are expected to begin selling by September.
★ Due to weak demand from South Asia, new-crop lentils are currently priced around AUD 100 per tonne lower than the prompt market.
★ Bangladesh and Sri Lanka are showing steady demand for limited prompt supplies, with prices around AUD 800/tonne delivered to Wimmera packers.
★ Since April 1, lentils imported into India have been subject to an 11% import duty.
★ However, under the Australia–India Economic Cooperation and Trade Agreement (AI-ECTA), a 50% tariff rebate is available on 37,500 tonnes of lentils per quarter on a first-come, first-served basis. Unused quota can be carried forward into the next quarter.
★ Under this system, one or two vessels of Australian lentils are likely to be shipped to India each quarter.
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Impact on India
★ Canadian and Australian lentils will be available for export from around September–October, while domestic lentil availability in India is currently good.
★ Given the expected demand in the coming months, there are early indications that prices may find support from here onward.