India’s Desi Chana Prices Stay Firm Despite New Crop Arrivals, Signalling Tighter-Than-Expected Pulse Balance

India’s desi chana (Bengal gram) market is holding unexpectedly firm even as new crop arrivals ramp up from Madhya Pradesh and Maharashtra. Wholesale prices across key mandis are broadly stable around ₹5,000–₹5,150 per quintal (about $60–$62 per 100 kg), with only a mild correction in chana dal. Balanced domestic supply, slower-than-normal arrivals in some producing regions, and the clearing of most Australian-origin imports are preventing a deeper price slide. The firm tone in India, the world’s largest chickpea consumer, is an important signal for global chickpea trade, with implications for Australian exporters, South Asian importers and pulse-based food manufacturers.

Introduction

India’s desi chana market is currently defying typical harvest-season patterns. Despite fresh crop inflows from major producing states such as Madhya Pradesh and Maharashtra, wholesale prices in several markets are largely steady rather than falling sharply as traders usually expect at this time of year. Recent mandi data indicate chana prices hovering near ₹5,000–₹5,150 per quintal in many centres, with quality and local demand influencing the exact range. In Delhi, Rajasthani-origin old crop and Australian-origin chickpeas are quoted roughly around $67–$70 per 100 kg, showing only a limited correction in recent sessions.

Market participants attribute this resilience to a mix of balanced supply and constrained local pressure: field reports suggest slower arrivals from Karnataka and Maharashtra and potential yield underperformance in parts of Madhya Pradesh, while most Australian-origin desi chickpea cargoes that previously entered duty-free have already been cleared through Indian ports. At the same time, India’s chickpea import window has narrowed, with desi chickpeas now generally attracting a 10% basic customs duty from April 2025 onward, limiting fresh import surges and shifting global trade dynamics.

🌍 Immediate Market Impact

The immediate impact of firm Indian desi chana prices is a tighter-than-expected domestic balance and a mildly supportive undertone for global chickpea values. India’s wholesale chana prices near ₹5,000 per quintal imply that domestic market participants do not anticipate a surplus large enough to push prices significantly lower in the short term. This relative stability contrasts with a broader global chickpea environment that has been characterised by ample supplies and price pressure in some origins.

On the logistics side, most of the large Australian desi chickpea shipments that flooded India during the tariff-free window in 2024–early 2025 have already moved through port and into inland markets, easing immediate congestion but leaving limited incremental import supply for the current marketing phase. Data indicate that Australia shipped close to or above 1.3–1.4 million tonnes of chickpeas to the Indian subcontinent during 2024–25, capturing more than 90% of India’s formal chickpea import volumes. With import incentives reduced and local arrivals slower than expected, domestic buyers and dal mills are maintaining steady procurement, keeping spot prices supported and intra-day volatility moderate.

📦 Supply Chain Disruptions

While there is no acute logistics crisis, the current pattern of arrivals and import policy shifts is creating more subtle supply chain frictions. First, arrivals from key states are uneven: market sources point to slower inflows from Karnataka and Maharashtra and a still-standing crop in parts of Rajasthan, which delays the usual seasonal release of supply into central consuming markets such as Delhi, Kanpur and Mumbai. Second, expectations of lower productivity in some Madhya Pradesh districts reduce the likelihood of heavy, price-depressing inflows later in the season.

On the import side, Australia’s earlier export surge to India—supported by a temporary suspension of import duty on desi chickpeas until March 2025—has given way to a much smaller import program for the 2025–26 marketing year, with projections suggesting more than a 50% drop in volumes compared with the prior season. With the duty now back at 10% for chickpeas and lentils, Indian buyers are more cautious, and the flow of new Australian cargoes has slowed. This policy-driven tightening at the import channel, even as domestic arrivals underperform expectations, is limiting downside pressure on chana and has implications for storage, inland logistics and processing capacity utilisation.

📊 Commodities Potentially Affected

• Desi chickpeas (Bengal gram / chana): Directly impacted as the primary commodity; firm mandi prices and moderate FOB corrections in India (e.g., New Delhi offers sliding only a few cents per kg in recent weeks) indicate a tighter balance than previously anticipated.
• Australian desi chickpeas: With India importing far less in 2025–26 after a previous surge, Australian exporters face weaker India-bound demand but may still watch Indian price firmness as a signal for any opportunistic buying windows.
• Chana dal and value-added pulse products: Dal prices have eased only $1–$2 per 100 kg, suggesting that processors are not yet seeing margin compression from raw material costs, but any renewed firmness in chana could pressure dal prices higher.
• Substitute pulses (yellow peas, lentils, tur): India’s extension of duty-free yellow pea imports until March 2026 and its continued reliance on imports of other pulses reduce substitution demand into chana but also mean that any upside in chana could shift some demand toward these alternatives.
• Chickpea-based snacks and processed foods: For food manufacturers, a stable-to-firm raw material cost base in India and globally can influence pricing decisions on hummus, besan-based snacks and ready-to-eat pulse foods.

🌎 Regional Trade Implications

The firmness in India’s desi chana market, despite new crop arrivals, has notable implications for regional trade flows. India’s chickpea imports from Australia are already projected to fall by more than half in the current marketing season, from roughly 1.4 million tonnes to about 500,000 tonnes, as higher domestic production and import duties curb buying interest. For Australia, this means a larger exportable surplus must find alternative outlets in South Asia, the Middle East and potentially North Africa, often at more competitive price levels.

South Asian neighbours such as Pakistan, Bangladesh and Sri Lanka, which have historically absorbed Australian chickpeas when India steps back, may benefit from improved availability and possibly softer CNF values for kabuli and desi types. Conversely, Indian importers who relied on large-volume Australian arrivals during the 2024–25 duty-free window will now have to manage risk primarily through domestic procurement, storage, and use of substitute pulses like yellow peas. The rebalancing of flows may also shift freight patterns, with fewer chickpea vessels discharging at Indian ports and more calling at Pakistani and Bangladeshi ports, influencing regional freight spreads and logistics planning for bulk carriers and containerised shipments.

🧭 Market Outlook

In the short term, the desi chana market in India is likely to remain supported as long as arrivals from major producing states do not accelerate sharply and as long as yield concerns in Madhya Pradesh are not fully resolved by better performance elsewhere. The absence of a new wave of duty-free imports and the relatively orderly clearance of earlier Australian cargoes underpin this view. Traders in India report that downside risk at current price levels appears limited, and some expect prices to edge higher if arrivals disappoint further, offering moderate stock-carry opportunities.

For global markets, however, the picture is more nuanced. Ample Australian supply, combined with softer import demand from India and limited alternative destinations, continues to cap international chickpea price rallies, even as India’s domestic prices look firm in local currency terms. Market participants will closely watch Indian government policy on pulse imports, the pace of chana procurement by domestic agencies, and any sign of substitution toward yellow peas and lentils, all of which could influence both domestic and export price trajectories through the remainder of 2026.

CMB Market Insight

The current firmness in India’s desi chana market, despite harvest-time arrivals, is strategically significant for pulse traders and food industry stakeholders. It highlights a structural shift from the earlier oversupply phase—driven by duty-free Australian imports—toward a more domestically balanced but still import-sensitive environment. For Indian buyers, the key message is that relying on a deep import-driven correction in prices may be risky; proactive procurement of good-quality chana around current levels could prove prudent if arrivals underperform.

For exporters, particularly in Australia, India’s reduced import appetite and 10% duty regime necessitate diversification of destinations, more flexible contract structures and closer monitoring of Indian mandi and policy signals. Regional processors and food companies should factor in a scenario of stable-to-firm chickpea costs rather than a return to multi-year lows, while maintaining optionality through substitute pulses where feasible. Overall, the desi chana market is transitioning into a phase where micro-level crop performance in India and incremental policy moves in New Delhi can rapidly shift sentiment—keeping volatility risk elevated and making timely market intelligence critical for trading and hedging decisions.