Black gram price shoots up to over K1.82 mln per tonne

The prices of black gram increased rapidly to over K1,820,000 per tonne in the domestic pulses market.
As the Central Bank of Myanmar (CBM) raised the reference exchange rate from K1,850 to K2,100 on 5 August, the prices of pulses surged significantly.
On 5 August, the black gram fetched only K1,667,500 per tonne. On 12 August, the prices skyrocketed to K1,822,500 per tonne. The figures showed an increase of over K150,000 per tonne within one week.
Similarly, pigeon pea prices jumped from K1,612,500 to K1,930,000 per tonne on 12 August, showing a significant rise of K310,000 per tonne within one week.
Despite the prices shooting up in the market, black gram transactions are rarely seen. Furthermore, there is a shortage of pigeon peas stock in the market.
According to a Memorandum of Understanding between Myanmar and India, India will import 250,000 tonnes of black gram and 100,000 tonnes of pigeon peas (tur) from Myanmar for five consecutive years from the 2021-2022 financial year to the 2025-2026FY.
The prices of black gram in Myanmar are correlated with India’s demand, fuel price hike, forex rate and export and import policies.
Last September 2021, the prices hit a record high of K2 million per tonne when the US dollar exchange rate with Myanmar currency hit over K3,000 in the local forex market.
Myanmar conveyed $1.57 billion worth of over 2,029,695 tonnes of various beans and pulses to foreign trade partners between 1 April and 5 August 2022 in the current financial year 2022-2023. The country shipped $347.957 million worth of over 436,833 tonnes of pulses and beans to foreign markets through the sea route, and $94 million worth of over 139,579 tonnes were sent to the neighbouring countries through land borders.
Myanmar exported US$1.57 billion worth of over two million tonnes of various pulses to foreign trade partners last financial year 2020-2021. The country shipped 1.24 million tonnes of pulses and beans worth $966.4 million to foreign markets through the sea route, and $604.3 million worth of 786,920 tonnes were sent to the neighbouring countries through land borders.
Myanmar yearly produces approximately 400,000 tonnes of black gram and about 50,000 tonnes of pigeon peas. Myanmar is the top producer of the black gram which is primarily demanded by India, while pigeon peas, green grams and chickpeas are cultivated in Australia and African countries besides Myanmar. — NN/GNLM