Pepper prices increased sharply, reaching a peak of nearly 90,000 VND/kg

The pepper growing area in Vietnam in 2023 will decrease by 5,000 hectares compared to 2022. This year's pepper harvest is forecast to decrease by about 10.5%, causing pepper prices on the market to increase sharply.

Pepper prices increased sharply, reaching a peak of nearly 90,000 VND/kg

According to data from the Ministry of Agriculture and Rural Development, the pepper growing area in Vietnam in 2023 will reach about 115,000 hectares, down 5,000 hectares compared to 2022. Pepper output in 2023 will reach 190,000 tons, up 3.8% over the year. 2022. However, due to the large decrease in area, pepper output in 2024 is forecast to decrease.

Currently, the 2024 pepper harvest has begun in some districts of Dak Nong province, but the harvest is quite scattered and not much. Due to the effects of climate change, the 2024 harvest will be slower than 2023. Vietnam's pepper output in 2024 is expected to only reach 170,000 tons, down 10.5% compared to 2023.

It is expected that pepper output in 2024 will decrease by about 10.5% compared to 2023. This information has caused pepper prices to continuously increase recently. Illustration photo: IT

According to the Vietnam Pepper and Spice Association, pepper prices in the domestic market have been on an upward trend since before the Lunar New Year until now, mainly due to limited supply, while businesses still have demand. Buy to ensure export progress.

On February 20, 2024, the price of black pepper increased simultaneously by 1,000 VND/kg compared to the previous day. Specifically, pepper price in Chu Se (Gia Lai) reached 86,000 VND/kg. Pepper price in Chau Duc district (Ba Ria - Vung Tau) reached 88,000 VND/kg; In the two provinces of Dak Lak and Dak Nong, pepper prices increased to 88,500 VND/kg.

Pepper price today is highest in Binh Phuoc province, reaching 89,000 VND/kg. Meanwhile, the price of white pepper ranges from 111,000 to 115,000 VND/kg, depending on the locality and is much higher than the price of 92,000 VND/kg in the same period in 2023.

The Import-Export Department (Ministry of Industry and Trade) forecasts that global pepper prices will fluctuate in an upward trend in the first quarter of 2024 due to continued decline in output in main producing countries. Adverse weather conditions caused by the El Nino phenomenon are affecting pepper productivity and harvest.

A global pepper production shortfall is expected in 2024 due to climate change and there has not been much new planting area in major producing countries in recent years. In particular, the weather is "very dry" in Brazil, and prolonged heavy rains in the Central Highlands and southern provinces of Vietnam will have an impact on reducing pepper production in the near future.

According to estimates by the Ministry of Industry and Trade, Vietnam's pepper exports in January 2024 reached 20,000 tons, worth 79 million USD, down 1.4% in volume, but up 1.9% in value compared to the month. December 2023; Compared to January 2023, it increased by 60.2% in volume and 83.9% in value.

The Vietnam Pepper and Spice Association said that the average export price of Vietnam's pepper in January 2024 is estimated to reach 3,953 USD/ton, an increase of 3.4% compared to December 2023 and an increase of 14,000 USD/ton. 8% compared to January 2023.

Regarding export structure and types: In 2023, Vietnam mainly exports black pepper, accounting for 69.51% of total output and 70.67% of the country's total pepper export turnover in the year. 2023. Therefore, black pepper export growth has had a positive impact on the entire "black gold" industry.

The leading export enterprises in January 2024 include: Nedspice Vietnam: 2,147 tons, Olam Vietnam: 1,819 tons, Pearl: 1,295 tons and Phuc Sinh: 1,078 tons.

The United States continued to be the main export market of Vietnamese pepper in January, reaching 4,774 tons, accounting for 27.2% of the market share, however compared to December 2023, it decreased by 23.1%. India is the second largest export market, reaching 1,367 tons, accounting for 7.8% and increasing by 35.2%. Exports to China decreased by 54.8% to 466 tons.

According to preliminary statistics from the General Department of Customs, in 2023, black pepper exports will reach 184.81 thousand tons, worth 643.46 million USD, an increase of 14.4% in volume and an increase of 1.0%. in value compared to 2022.

In 2023, Vietnam exports black pepper to more than 100 countries and territories around the world. Among them, Vietnam's traditional export markets for black pepper include: China, the United States, India, the United Arab Emirates, the Philippines...

According to danviet.vn

VPA