
Brazil’s Black Matpe Production Depends on India’s Import Policy
Growers Await Decision on Duty-Free Imports
Brazilian farmers are closely watching India’s decision on extending duty-free imports of black matpe (urad). Because it will determine whether they proceed with planting in February-March. If the Indian government does not announce an extension within the next few weeks, many farmers may shift to other crops like corn, which is in demand from China and Mexico.Julio Mariucci of Coperaguas Cooperativa Agroindustrial, Brazil’s largest pulses exporter, highlighted this concern during a webinar hosted by the Global Pulse Confederation. Brazil grows black matpe in two seasons—February-March and September-November. Without clarity on Indian imports, the upcoming crop could be affected.
Potential Production Drop if Imports Are Limited
Brazil exported 50,000 tonnes of black matpe to India in 2024, helping stabilize prices. If the duty-free import policy continues, Brazil could increase production to 1,00,000 tonnes. However, without this extension, output might drop to 30,000-40,000 tonnes.India has permitted duty-free imports of black matpe until March 31, 2025. Many in the trade expect the policy to be extended, given that India’s 2024 kharif crop was 25 percent lower at 1.2 million tonnes, compared to 1.6 million tonnes in 2023.
Brazil’s exports of black matpe have grown significantly, rising from just 5,000 tonnes in 2023 to a tenfold increase this year. The crop planted in September-November was sold at USD 0,90-0,98 per kg, with shipments expected in June-July.
Price Drop and Changing Market Conditions
Black matpe prices have dropped by over 30 percent from their peak. Currently, the price has declined to USD 0,67-0,70 per kg, down from USD 1,00 per kg in June-July. The availability of black matpe from Myanmar and Brazil contributed to this price fall, along with increased imports of yellow peas, chickpeas, and pigeon peas.Myanmar’s exports surged to 67,000 tonnes per month, up from 45,000 tonnes, with 90 percent of the supply going to India. This unexpected increase in supply led to the price correction. However, Myanmar is now harvesting a new crop of 1-1.2 million tonnes, though recent rains have affected yield and quality.
Uncertain Future for Black Matpe Cultivation
Despite stable demand, India’s black matpe consumption has remained steady at 0.22-0.23 million tonnes per month for years. Traders expect prices to remain stable or slightly under pressure until the next kharif harvest.In 2024-25, black matpe production in India is estimated at 2 million tonnes, with total availability reaching 3.1 million tonnes. A 4,00,000-tonne carryover stock is expected. However, Indian farmers have shifted to other crops due to attractive maize and wheat prices.
Click here to reach our trading platfrom CMBroker
