INDIAN expatriates from Melbourne to Manhattan have gone into panic-buying mode to satisfy their appetite for dhal after India slapped a ban on the export of pulses to offset a domestic shortage.

Prices of the dried lentils and split peas, stewed to make the staple meal that provides most Indians with their main source of protein, have rocketed around the world since the ban was introduced in June. In Britain the cost has doubled, to £1.40 a kilogram (64p a lb).

Some retailers are rationing supplies and Indians abroad are urging relatives who plan to visit them to fill their suitcases with emergency supplies.

The export ban was introduced to stabilise prices after a drought last year that severely affected agricultural output. India is the biggest producer and consumer of dhal, accounting for 27 per cent of the 54 million metric tonnes produced worldwide in 2002, according to figures from the Multi-Commodity Exchange of India.

The Indian pulses export market was worth £106 million last year, with total production valued at £2.9 billion.

“This is causing real problems,” Hitesh Davda, the owner of Farm Gold International, a commodities brokerage in the western state of Gujarat, said. “Some of the cargo was in the port and suddenly there was no way to fulfil shipping commitments. There is a 100 per cent block in theory, although some people will find ways to get it out under the table.”

While there are other producing nations (Canada is the largest exporter) that could help to offset the shortage, many Indians will cook with dhal sourced only from their homeland, where the quality of the lentils is considered to be superior. “No one does moong dhal or urad dhal like India,” says Tony Deep, managing director of East End Foods in the West Midlands, whose customers include Marks & Spencer, Tesco and Waitrose.

He estimates that his supply of processed dhal from India is down by 40 per cent from his usual 30 tonnes a day. “No one anticipated this,” he said. “The impact has been a doubling of price.”

The effect on the market is only set to deepen. The Indian Government has extended the export ban until March while permitting increased imports to keep up with domestic demand. But the desired price stabilisation has not been achieved.

“The stance of the Government is not working,” Saahil Garg, the manager of Garg Dall and Besan Mills, in Delhi, said. “Even in the local market prices are still going up. Our international clients are going to Bangladesh, China and Turkey [for pulses] instead, but the fear is that when the ban is lifted they will not come back. This is not good for the international market. India is the only exporter that can keep up with demand.”

Many buyers blame the domestic price rise on the Government’s decision to let dhal be traded as a commodity on the stock exchange. Prices have been subject to volatility in recent years, leading to the creation of a futures market to allow traders, importers and processors to hedge their risk.

Increasing amounts are being traded privately, leaving less for the poor, who depend on being able to buy the staple at subsidised prices through government-owned suppliers.

AND IF YOU CAN GET HOLD OF SOME...

1 cup toor dhal
1 small onion, 1 clove garlic
1tsp gratedfresh ginger
1tsp cumin seeds
2-3 chopped tomatoes
½tsp chilli powder
½tsp turmeric
1tbsp lemon juice
1 tbsp vegetable oil

Put the toor dhal and 3 cups of cold water into a pan and bring to the boil Simmer for about 25 minutes until slightly soft. Drain.

Heat the cumin in the oil, add onion, garlic and ginger and fry until the onion has browned slightly. Add tomatoes and fry until the oil starts to separate. Add the dhal and return to the boil.

Cook for two minutes, adding the remaining spices and lemon juice. Season and serve with rice (serves 2-4)

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