Global pulses prices shoot up by 30% to 40% due to drought fears in India

PUNE: Global prices of pulses have gone up by about 30 per cent to 40 per cent during last two to three months due to fear of drought in India, the largest importer and consumer of the vegetarian source of protein. With Union government's announcement to import pulses, international prices are expected to move up drastically.

Pulses prices have increased by 50 per cent to 60 per cent in last one year and there is uncertainty about domestic production in 2015 due to threat of deficient monsoon.

Chana prices in the forward trade in Australia have increased from $ 550/tonne in March to $775/tonne in June. Similarly, prices of moong, tur, urad have increased by 30 per cent to 40 per cent in Myanmar and other supplying countries. Canada, the biggest grower of yellow peas too has increased area under the crop substantially.

Indian importers have signed contracts for record imports of yellow peas and lentils from Canada. With Indian government's announcement that it will import pulses to control domestic prices, trading community thinks that the international prices can move up further. "Government's announcement to import will create chaos. The prices will go up further," said an industry source.