Black bean price drops in domestic market

— Min Htet Aung 72
Beans and pulses are displayed in bags at a shop in Mandalay. Photo: Min Htet Aung

Myanmar black bean price has dropped in the domestic bean market because of India’s bean procurement system, said U Min Ko Oo, the secretary of Myanmar Pulses, Beans and Sesame Seeds Merchants Association (MPBSSMA).
Although the black bean touched a high of K1,152,500 per tonne at the end of October 2020 because there was a demand from India, the price fell to about K950,000 per tonne on 28 January.
U Min Ko Oo also said that the main thing is India’s bean procurement system. India began setting an import quota on beans in August 2017 to protect its local farmers. India’s purchasing system is based on the quota system. The bean is highly demanded while India sets up the quota and issues the licences to the bean companies. At that time, the price of beans has increased. After that, the price of beans will plunge while the quota is almost completed. The demand has also declined. It means that India controls its bean purchasing volume with its quota system.
On 1 October, the Ministry of Commerce and Industry of India issued a notification to purchase 150,000 tonnes of black beans instead, and the import deadline is March 2021. The licence will be equally granted for India’s companies.
Currently, Myanmar has already exported nearly 100,000 tonnes of black beans. The remaining 50,000 tonnes of beans will continuously be exported, according to MPBSSMA.
The new harvested black bean started entering the market. The black bean yielded around 400,000 tonnes annually and will be exported mainly to the India market. Similarly, Myanmar has also produced about 50,000 tonnes of pigeon peas yearly and exported them primarily to the India market.
Since 2017, India has been setting import quota on beans, including black beans and pigeon peas.
Myanmar has to export black beans and pigeon peas under a quota system and limit period.
Consequently, there is no guarantee that we could get the prevailing market price next year; the market observers shared their opinion. Following no assurance of black beans and pigeon peas in the markets, the association suggested on the end-October that the local farmers grow black-eyed beans more. (Translated by Hay Mar)

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