In India, Australian Red Lentils (Nipper/Hallmark#1) traded at USD 680 pmt levels for CFR Kolkata bulk in containers, sales are trying to be pushed but buyers are unwilling to increase bids. Heard USD 660 pmt levels traded for Nipper/Hallmark#1 CFR Nhava Sheva however with freight differential usually limited to between USD 5-6 pmt between Kolkata and Nhava Sheva, we do not believe there to be many sellers selling steep discounted values into Nhava Sheva. Our Indication for Nipper/Hallmark #1 – July/Aug – Bulk in Containers – CFR Kolkata – USD 692 pmt. 

 In Pakistan, the demand for Australian pulses is waning after a few weeks of aggressive buying. Politico-economic/currency risks keeping most regular Australian sellers restricted for container business for Pak. Small amounts of CHKM containers continue at USD 540 CFR Karachi levels. Our Indications for CFR Karachi – CHK1 – USD 570 pmt; CHKM – USD 540 pmt; KCP 7/8 – USD 970 pmt; Nipper/Hallmark #1 – USD 695 pmt  

Bangladesh and UAE markets are still relatively quiet, and there is no imminent demand for pulses. In Bangladesh, last week heard trade offers for GM Canola min. 44% bulk in containers around USD 645 levels.  

The Nepal pulse market has slowed down for a while. Our Indication for Nipper/Hallmark#1 – Bulk in Containers – CFR Birgunj – USD 725 pmt; CHK1 – USD 600 pmt.  

 Canola seed continues to be quiet for Nepal buyers mainly due to aggressive offers on Ukraine rapeseed where new crop harvest is just 1 month away, hence urgency on emptying storages. Our price indication for GM Canola min. 44% oil – July/Aug – Bulk in containers – CFR Birgunj – USD 640 pmt. 

Container freight ex Australia continues to correct month on month as carriers struggle with filling their vessels with cargo. However, we have noticed major carrier’s reluctance to significantly reduce freight rates to the Indian sub-continent majorly due to  

a) Equipment availability issues in Australia due to low import volumes and  

b) Limited own vessel carriers into ISC reducing competition. 

The announcement of a 60-days extension to the Black Sea grain corridor agreement led to pressurization in global wheat prices & corn followed it for the same reasons. Adding further US corn price in pressure due to the cancellation of 272,000 mt of 22/23 corn to China.  

However, Australian growers had couple of good, seasons & so they are not in urgency to sell what they’re holding, particularly with the chances of an El Nino event increasing price in old & new crop.  

Barley prices have fallen along with wheat & corn, but Australian growers are still hoping for support may come later in the year on the back of China’s tariff review. New crop production is looking shaky because of drier conditions caused by a developing El Nino & hoping to get price support in upcoming months.   

Drier than normal conditions are expected to continue until late May. The dry weather continues to hinder planting progress, with planting rates across Eastern Australia spread between 50-70%. VIC is now 70%+ complete, whilst NSW and SA are lower, around 50%. Grower feedback has been that almost everyone is looking for at least 5-10mm to get crops started.   

Sorghum is currently in low demand in China; trade is offering it for USD 340 levels CFR Tianjin for bulk in containers, but there are no bids.  

No major demand from SEA wheat millers; they have enough wheat on hand to last until July 23. Australian wheat in containers quoted for July/Aug shipments period – ASW-USD 322 pmt ; APW- USD 327 pmt.