The first shipment of Australian lentils under the in-transit phosphine fumigation trial arrived in India on 5 November 2022.
Under the trial, Australia will export 10 shipments of in-transit phosphine-treated Australian grains and pulses to India.
Australia already uses phosphine fumigation as a quarantine treatment for exports of:
- wheat to Sri Lanka and Pakistan
- grains and pulses to Bangladesh.
Implications for Australian exporters
In-transit phosphine fumigation is the preferred treatment method for Australian grain and pulse exporters.
The success of these trials may lead to the approval of in-transit phosphine fumigation application as an equivalent quarantine treatment to India's current mandatory methyl bromide fumigation protocol.
The increasing availability of phosphine treatment across the South Asia region increases flexibility for Australian exporters. It may allow the same vessel to be used for shipments to multiple countries.
About phosphine fumigation
Phosphine fumigation is a chemical treatment. It is used worldwide to protect grains, pulses and oilseeds from insect and pest contamination during storage. Industry and importers prefer phosphine treatment because it leaves negligible chemical residue and does not damage the grain.
Australia is a world leader in phosphine fumigation technology and safety. Australia exports phosphine-treated grains and pulses around the world.
About in-transit phosphine fumigation
In-transit treatment removes the need for grain to be treated onshore for 7–10 days. In-transit treatment also reduces congestion at ports, where grain is traditionally stored during fumigation.
Taken together, in-transit phosphine fumigation reduces costs for Australian exporters. It can also potentially improve the quality of product for Indian importers.
Overview of the Indian lentil market
India is one of the world's largest consumers and importers of lentils (see Figure 1). Canada and Australia are India's main sources of lentil imports.
Figure 1: World lentil imports by country
India recently extended the zero tariff rate on lentils until 31 March 2023. This rate applies to all countries except the United States.
In 2021–22, good seasonal conditions returned to Australia. This, along with reduced Indian tariffs, led to a resurgence in trade (see Figure 2).
Figure 2: Australian lentil exports by country (2016–17 to 2021–22)
There is likely to be more opportunities to export lentils to India in 2022–23 thanks to:
- high Australian pulse production
- ongoing tariff reductions
- the potential for improved treatment options.
Resources
The Manual of Importing Country Requirements has details of India's import requirements for lentils.
Austrade has more information about the Indian market.
