Urad Prices Under Pressure Amid Heavy Imports from Myanmar

29-Apr-2025 11:52 AM

Chennai. The Indian urad (black gram) market is currently facing significant downward pressure due to a combination of robust domestic arrivals and a surge in cheap imports from Myanmar, which has reported record production this season.

In India, the arrival of the Rabi Kalan crop is in full swing, and the Zaid (summer) crop is expected to begin arriving shortly in key states such as Gujarat and Madhya Pradesh. Simultaneously, the domestic demand for urad remains subdued due to ample availability of other pulses, further aggravating the price decline.

According to trade sources, urad imports during the financial year 2024-25 surged by 32%, rising from 6.24 lakh tonnes in 2023-24 to over 8.23 lakh tonnes. This increase is attributed to Myanmar’s bumper crop, where urad production has reportedly risen from around 7.50 lakh tonnes last year to a new record of 8.50–10 lakh tonnes. A substantial portion of this produce is already being shipped to India.

Prices of urad in Indian markets have dropped sharply—from ₹9,500 per quintal in November 2024 to approximately ₹7,200 per quintal in April 2025, reflecting a 25% decline. The bearish trend has led traders to adopt a cautious stance, limiting purchases to short-term requirements only.

Market analysts suggest that unless the government intervenes, the downward trend may continue. Currently, the government stock of urad is at a minimum level.

If procurement begins at the Minimum Support Price (MSP) of ₹7,400 per quintal, it could help stabilize prices to some extent.

Rahul Chauhan, Director of I-Grain India, commented, "Given Myanmar’s high production and the pace of current shipments, India’s urad imports this year may exceed previous records."

In the near term, with continued imports, ongoing Rabi arrivals, and the upcoming Zaid crop, the domestic urad market is likely to remain under pressure unless procurement or demand factors change significantly.