Pepper market June 12, 2024

 

Pepper market June 12, 2024: export and domestic pepper prices dropped sharply

Posted onJune 12, 2024by VPA

12
Jun

Pepper price today June 12 is in the range of 155,000 - 160,000 VND/kg. After a series of consecutive increases, the official domestic pepper price dropped sharply by 20,000-25,000 VND/kg. The International Pepper Community sharply increased Vietnam's pepper export prices while slightly decreasing Indonesian pepper prices.

At the end of the most recent trading session, the International Pepper Community (IPC) listed Lampung (Indonesia) black pepper price at 6,449 USD/ton, down 0.03%; Brazilian black pepper price ASTA 570 is at 8,500 USD/ton; Kuching (Malaysia) ASTA black pepper price remained at 4,900 USD/ton.

Muntok white pepper price was 8,417 USD/ton, down 0.04%; Malaysian ASTA white pepper price is still at 7,300 USD/ton.

Vietnam black pepper price is trading at 7,300 USD/ton for 500 g/l type; type 550 g/l at 7,800 USD/ton, up 16.25%; White pepper price was at 10,700 USD/ton, an increase of 20.83%. The International Pepper Community sharply increased Vietnam's pepper export prices while slightly decreasing Indonesian pepper prices.

Pepper prices in the world and in Vietnam increased sharply because Brazil and Vietnam, the two countries that determine global supply, are having a decline in output due to El Nino weather causing drought. Supply in Indonesia, India, Malaysia, and Sri Lanka is also limited.

According to assessments, in the long term in the next 3-5 years, the amount of pepper produced cannot meet the world's consumer demand.

Factors other than supply and demand pushing pepper to skyrocket include shipping costs. The global container index, representing spot container freight rates on major international shipping routes, has returned to the peak of the Covid-19 epidemic.

Shipping market research firm Linerlytica said that ports in Southeast Asia are becoming the "most serious bottleneck" for world maritime transport activities, when 26% of global container capacity is stuck in this area.

This has been implanted in product prices, causing goods to increase in recent times. Besides, domestic speculation activities are also considered one of the main causes of the current price increase. The market is also driven by increasing purchasing power each month from China.

According to KTĐT.vn