Indian importers have resumed purchasing US green lentils but are seeking to renegotiate prices, which were high when the contracts were initially signed. Ameer Mehdi Buhari, President and CEO of Agcore Trading, stated, “Indian green lentil shipments have commenced, but buyers are asking to renegotiate prices due to huge price collapse.” He noted that this decline in prices is primarily due to large crops of various pulses, particularly green lentils, from Canada and the US this year.
In addition to Canada and the US, countries like Australia and Russia are reporting favorable harvests of peas and lentils, while African nations have also had a successful pigeon pea harvest.
Retaliation Fear
During the July-September period, Indian importers halted imports of US agricultural products, predominantly lentils and beans, due to fears that the Indian government might retaliate against punitive tariffs imposed by the Trump administration in August. Washington enforced a 25 percent tariff starting August 7, claiming that New Delhi had imposed higher tariffs on US goods, and levied an additional 25 percent duty on India for buying crude oil from Russia beginning August 27.
While negotiations continue between India and the US, Indian Commerce Minister Piyush Goyal has emphasized that New Delhi will not rush into signing any bilateral trade agreement.
“Last year, forward contracts to India traded at $850 a tonne (ranging up to $1,250 at their peak). This year’s market price is at $560,” Buhari explained.
Current Offers
Data from the Global Pulses Confederation indicates that Canada is currently offering green lentils at $640 a tonne, down from $765 in August. Conversely, Russia is offering them at $610, compared to $785 in August. The price of pigeon peas from African sources has decreased to $550 a tonne from over $600 in August. However, prices from Myanmar have remained stable at around $775, influenced by expectations of higher imports from India, where heavy rainfall recently affected the crop.
Chickpea prices have dropped below $500 a tonne from about $700 in August. Prices for yellow peas, attributed to the broader price collapse in the pulse market, have plummeted to between $300 and $320 a tonne from $415 in August. Lower prices for pigeon peas are exerting downward pressure on lentil prices. US exports of green lentils to India are limited, with a greater volume of larger green lentils being imported from Canada, especially through the Vancouver port.
USDA Estimates
Trade sources indicate that US green lentils primarily reach Tamil Nadu, where the state distributes them through ration shops. Last year, the US exported approximately 44,000 tonnes of green lentils to India. Some buyers in Tamil Nadu sell these lentils in southern regions as a substitute for pigeon peas.
According to the Australian Bureau of Agricultural and Resource Economics (ABARES), Australia’s chickpea production is estimated at 2.1 million tonnes (mt), down from 2.3 mt last year, while lentil production is projected at 1.7 mt, compared to 1.6 mt last year. The US Department of Agriculture (USDA) estimates dry pea production at 800,000 tonnes, with lentil production projected at 425,000 tonnes—an increase of 4 percent from the previous year.
Agriculture and Agri-Food Canada forecasts Canada’s dry pea production at over 3.5 mt, expecting nearly 3 million tonnes of yellow peas and 550,000 tonnes of green peas. In lentil production, Canada anticipates an increase to 2.75 mt, with red lentil output expected to be around 1.4–1.45 mt—a decrease of 19 percent from 2024-25 levels—while green lentil output is estimated at 1.15–1.2 mt, reflecting a 60 percent increase.
In the Black Sea region, Russia is projected to harvest a record 6.8 million tonnes of pulses, primarily chickpeas and peas, while Ukraine’s crop is set at a record 610,000 tonnes, with coverage increasing by 25 percent this year. Chickpea production in Ukraine is estimated at around 700,000 tonnes, while pea production is projected at 4.7 million tonnes, predominantly yellow peas, with green peas accounting for 50,000-100,000 tonnes.
All these factors suggest a bearish trend for the pulses market, although prices saw a slight increase last week as Indian importers began buying.
Published on October 29, 2025.
