Tariff reductions flagged: Possible tariff reductions for Australian chickpeas in India

The Australian pulse industry is watching closely for any tariff drops by India on chickpeas . Here’s why.

Close watch: Pulse Australia chairman Nick Goddard says rumours of a tariff drop came about late last week and industry was remaining in close contact with the Australian agriculture team in Delhi.

INDIA’s current 60 per cent tariff’s on Australian chickpeas may be reduced following talk of low supply ahead of the country’s festive season.

Pulse Australia chairman Nick Goddard said rumours of a tariff drop came about late last week and industry was remaining in close contact with the Australian agriculture team in Delhi, which he said was monitoring the situation closely.

Despite impacts of the coronavirus pandemic on the country, India’s festival season was approaching with chickpeas typically picking up in demand at this time.

“Annual festivals are still looking like they will go ahead,” Mr Goddard said.

“The Indian government has distributed chickpeas to the population, and they are finding themselves short and the domestic price is rising.”

A possible reduction of chickpea tariffs follows India’s tariff drops on Australian lentils back in June, which fell from 30 per cent to 10 per cent due to supply chain disruptions caused by the coronavirus.

Lower lentil tariffs are still in place, two months on from when they were originally meant to be removed.

But according to Mr Goddard, lentil reductions were still needed until December 30 to have any real impacts for growers.

He said Australia’s pulse growing season had been widely positive from north to south.

“Northern NSW is looking fantastic, they haven’t had a crop for two years, so they are jumping for joy there.”

Darling Downs was still dry, Mr Goddard said, although harvest was now under way.

Igrain account manager Marissa MacAlpine said lentils were fetching $690 a tonne delivered to Melbourne, and Kabuli chickpeas - $620 a tonne.

“In comparison from last year to this year, prices have come up with some pulses as there is less domestic demand- with the drought ending in NSW- and overseas demand has increased particularly in recent months,” she said.

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