Abundant Supply Reshapes Iran’s Pulses Market

Iran’s pulses market has entered a new phase in recent months as higher domestic production and increased imports have created an oversupply of several products, pushing prices down. While the situation benefits consumers in the short term, lower prices are also putting pressure on producers and importers, particularly where market prices have fallen below levels that allow for reasonable margins.

 

Estimates indicate that domestic pulses production has increased by 15–20% this year, with local production currently covering around 65–70% of market demand. Imports account for approximately 25–30% of supply and can reach 35% in some years. Strong supply, alongside continued efforts to maintain imports during wartime conditions, has left market inventories at satisfactory levels.

On the trade side, foreign-currency allocation for pulses currently takes around two to three weeks, while approximately €15 million in outstanding currency-related claims from 2023 and 2024 remain unpaid. Additional claims are linked to 2025 imports and the gap between the exchange rates applied when goods were imported and subsequent currency rates.

With inventories remaining adequate, the pulses market is expected to move toward greater price stability in the second half of the year. Pinto beans, which experienced a sharp price increase last year, have also returned to more stable conditions. For businesses across the supply chain, however, accelerating the settlement of outstanding foreign-currency claims remains a key priority.