Black Sea attacks hit yellow peas, sunflower oil supplies to India
Russia's exports of yellow peas and sunflower oil to India have been disrupted by ongoing conflicts. As a result, prices for yellow peas have risen from ₹40 to ₹46 per kg in the last two months. Importers report that shipments from Russia have not occurred recently, affecting the availability of yellow peas. Meanwhile, sunflower oil shipments are also hindered, causing expectations of higher…
Russia's exports of yellow peas to India have ground to a halt over the past two months due to attacks on its ports in the Black Sea, sparked by the ongoing war with Ukraine. This has caused the price of yellow peas to soar by more than 10%. Sunflower oil shipments from Russia and Ukraine have also been impacted, making it more expensive than other cooking oils, according to importers.
Russia is the world's leading producer of yellow peas, as per Bimal Kothari, the president of the Indian Pulses and Grains Association (IPGA). However, no shipments have been received from Russia in the last two months. Meanwhile, Canada, the second-largest producer of yellow peas, has hiked prices. In India, wholesale prices of yellow peas have jumped from around ₹40 to ₹46 per kg in the same period.
Following the attacks, Russia has redirected its grain export activities to the northern Baltic Sea ports. However, importers claim Russia is prioritizing wheat shipments, leaving no room for yellow pea exports. Satish Upadhay, secretary of IPGA, has requested the Russian authorities to allow some cargo from their northern ports. Despite a 30% import duty, the drop in import volume, and higher international yellow pea prices, domestic prices have risen moderately, according to Kothari.
Yellow peas continue to be the least expensive pulse in the country, even with the increased prices, Kothari noted. If imports of yellow peas from Russia resume, it could lead to a reduction of ₹4-5 per kg in prices. However, the supply of sunflower oil from Russia and Ukraine is also anticipated to decline due to the shipping disruptions.
The logistics from the Black Sea ports are chaotic, as reported by Sandeep Bajoria, president of the International Sunflower Oil Association. A shipment of 20,000 tonnes intended for India was cancelled. The region's sunflower oil exports have now dropped to about 50% of their usual volume. Bajoria predicts that sunflower prices will rise in the coming weeks due to prolonged shipping schedules.
Written by urgent.news from The Economic Times - Economy's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
