VIETNAM - SPICES MARKET UPDATE 12TH DECEMBER 2019

November, Vietnam has exported 16,484 tons of pepper, including 14,941 tons of black pepper and 1,543 tons of white pepper.  Export turnover reached 38.85 million $ with black pepper 33.98 million$ & white pepper 4.87 million $. Compared to the October, the export volume decreased by 3.9%, the turnover decreased by 5.8%.

Accumulated from Jan to November 2019, Vietnam has exported 271,067 tons including 243,174 tons of black pepper & 27,893 tons of white pepper with export turnover reached 682.9 million $. Compared to the same period in 2018, the export volume increased by 21.7%, equivalent to 48,281 tons, but the export turnover decreased by 6.8%, equivalent to 49.8 million $.

The average export price of black pepper in the first 11 months of 2019 reached 2,446 USD/ton, white pepper at 3,026 USD/ton. The export price of black pepper decreased by 23.4% and white pepper decreased by 21.3% compared to the same period of 2018.

China is Vietnam's largest pepper import with 56,095 tons, USA is 46,210 tons, follow is India, Germany…

Pepper market slightly firmer due to exporters covering December shipment, farmers/collectors offer limited raw material. USD is in weakening trend compare with Vietnam currency from this year.

WHATSAPP +5511988027709
MAIL manager@peppertrade.com.br
TWITTER : https://twitter.com/peppertrade 

IPC MARKET REPORT No. 47/19, 18 - 22 November 2019

LOCAL MARKET 
Market this week showed mixed response with only Indonesia and Malaysia recroded decreses.
In local market, Malabar black pepper was traded with an increase by 2% as compared to the previous week with an average of USD 4,523 per Mt.
Indonesia black pepper was reported stable with an average of USD 1,632 per Mt.
Whilst Indonesia white pepper took a dive with a 9% deficit as compared to the previous week with an average of USD 3,015 per Mt, recording the lowest price of Muntok white pepper in the past year. The significant decrease in price of white pepper in Indonesia could be contributed to market being flooded by product. Thus, pressuring the price in the local currency to an average of IDR 42,500 per Kg from IDR 46,500 per Kg in the previous week.
Malaysian black and white pepper was also traded negatively with a 2% and 1% deficit respectively as opposed to previous week at an average of USD 1,930 per Mt for black pepper and USD 3,433 per Mt for white pepper. Furthermore, Viet Nam black pepper was reported an increase by 2% as compared to the previous week with an average of USD 1,740 per Mt whilst Viet Nam white pepper was reported stable and unchanged.
Sri Lanka black pepper showed a strong outlook this week and returned to be traded at an average above USD 3,000 per Mt with an increase by 7% as compared to the previous week at an average of USD 3,093 per Mt. Whilst, China white pepper was reported stable with an average of USD 4,563 per Mt.

INTERNATIONAL MARKETIn international market, the trend also showed mixed response with only Indonesia recorded decrease.
FOB price of India black pepper was reported with the same 2% increase as compared to the previous week at an average of USD 4,801 per Mt.
Indonesia black pepper was reported steady with an average of USD 2,031 per Mt.
Whilst Indonesia white pepper was reported with an 8% deficit as compared to previous week at an average of USD 3,592 per Mt.
Malaysia black and white pepper continued to be traded stable and unchanged.
Furthermore, Viet Nam black pepper 500 g/l, 550 g/l and Viet Nam white pepper were reported with an increase by 3%, 3% and 2% respectively as opposed to the previous week averaging at USD 2,326 per Mt, USD 2,391 per Mt and 3,476 per Mt respectively.
China reported a stable international trade for its white pepper with an average of USD 4,763 per Mt.

WHATSAPP +5511988027709
MAIL manager@peppertrade.com.br
TWITTER : https://twitter.com/peppertrade

VIETNAM PEPPER MARKET UPDATE 25TH NOVEMBER 2019.

According statistics of the Vietnam Pepper Association/Customs, by the end of October 2019, Vietnam exported 254,583 tons, including 228,233 tons black pepper and 26,350 tons of white pepper, total export turnover reached 644.1 million USD.

Compared to the same period in 2018, exports increased by 21.1% in volume to 44,302 tons, but decreased value by 7.0% equivalent to 48.7 million USD. The average export price of black pepper in the first 10 months of 2019 reached 2,473 USD/ton, white pepper reached 3,019 USD/ton.

The export price of black pepper decreased by 662$/ton and white pepper decreased by 1,556/ton compare with the same period 2018.

China is still the largest import market of Vietnam Pepper in the first 10 months, reached 54,649 tons, up 22,991 tons, roughly 21.46% of Vietnam Pepper. However, in the last 2 months is only around 800 tons due to border trade continue is still stuck and increased a lots cost when clear customs. We foreseen this situation more difficult and maybe China customer have to official buying pepper pay full tax from Vietnam. This may also keep pepper prices stable/up or down not much and less volatile sudden as before.

The second largest is USA was 43,102 tons, an increase of 5,034 tons, accounted for 16.9%. Followed by Indian markets imported 17,785 tons, down 72 tons; Germany imported 9,605 tons, up 2,567 tons; Arabs imported 9,478 tons, up 912 tons.

Market is still moving very steady and firm from last week. The main reason were due to exporters big short for Light Berries to extra oil (density from 280 – 300gr/l) while Vietnam Light Berries  in this year very less than usual. Nepal and other Asia countries also buying December/Jan shipment beside China covering few boxes white pepper. However, USA/EU quiet at our side and asking big discount for first half 2020 shipment.

WHATSAPP +5511988027709
MAIL manager@peppertrade.com.br
TWITTER : https://twitter.com/peppertrade

IPC MARKET REPORT No. 44/19, 28 October - 1 November 2019

LOCAL MARKET
Market this week showed mixed response with a rather static outlook.
In local market, Malabar black pepper was traded with a 1% deficit as compared to the previous week with an average of USD 4,202 per Mt.
Indonesia black and white pepper was reported stable with an average of USD 1,639 per Mt for black pepper and USD 3,313 per Mt for white pepper. Farmers in Lampung were reported to hold selling their pepper in the hope of better price.
Malaysian black and white pepper was also reported stable at an average of USD 1,993 per Mt and USD 3,505 per Mt respectively.
Furthermore, Viet Nam black and white pepper was also reported stable and unchanged.
Sri Lanka black pepper continuously moving up, in local market it recorded an increase by 2% as compared to the previous week and was traded at an average of USD 2,708 per Mt.
Whilst, China white pepper was reported stable with an average of USD 4,595 per Mt.

INTERNATIONAL MARKET
In international market, the trend also showed mixed response. FOB price of India black pepper was reported with the same 1% deficit as compared to the previous week at an average of USD 4,484 per Mt. Indonesia black and white pepper was reported steady with an average of USD 2,040 per Mt for black pepper and USD 3,926 per Mt for white pepper. Malaysia black and white pepper continued to be traded stable and unchanged. Furthermore, Viet Nam black pepper 500 g/l, 550 g/l and Viet Nam white pepper were reported stable and unchanged averaging at USD 2,250 per Mt, USD 2,315 per Mt and USD 3,400 per Mt respectively. China reported a stable international trade for its white pepper with an average of USD 4,795 per Mt.






WHATSAPP +5511988027709
MAIL manager@peppertrade.com.br
TWITTER : https://twitter.com/peppertrade

In India, Black pepper prices lowest in a decade

https://economictimes.indiatimes.com/markets/commodities/news/black-pepper-prices-lowest-in-a-decade/articleshow/71799047.cms

By PK Krishnakumar

Kochi: Oversupply in the global market and rising imports have pushed Indian black pepper prices to the lowest in a decade.

The prices have dipped below Rs 300 per kg. “When we take the produce to the market, we get only Rs 280 per kg,’’ said a grower, Rajendra Prasad, based in Idukki in Kerala.

When the harvest of the new crop begins in December, the prices are expected to fall further. “We will not be surprised if the prices touch Rs 200 next year,’’ Prasad said.
Burdened by high wages and declining productivity, the growers have already started moving to other crops that give better prices like cardamom.Prasad has started growing cardamom in parts of his 10-acre pepper plantation. “Against 5 kg earlier, I am getting 2 kg from a pepper vine. Though cardamom productivity will be 70 per cent of that from regular growing areas in Idukki, it offers better remuneration.’’ Cardamom is priced around Rs 2,500 per kg.

Though cardamom productivity will be 70 per cent of that from regular growing areas in Idukki, it offers better remuneration.’’ Cardamom is priced around Rs 2,500 per kg.

Read more at:
//economictimes.indiatimes.com/articleshow/71799047.cms?utm_source=twitter_web&utm_medium=social&utm_campaign=socialsharebuttons&utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst

The black pepper production in India has been stagnating between 50,000 to 60,000 tonnes in the past few years with Karnataka being the top producer followed by Kerala. Last year, heavy rains and flood led to poor output in Kerala and parts of Karnataka.

Even at this level, Indian pepper has the highest price in the global market. Pepper from major producer like Vietnam, Brazil and Indonesia are priced in the range of Rs 150 to 160 per kg while Malaysian pepper is available for around Rs 250 per kg .

As a result, there has been rising import of pepper to India flouting the minimum import price fixed by India atRs 500 per kg.

“Lots of pepper are reaching Indian shores via Mumbai, Chennai and Tuticorin ports. It is easy for the sellers to make an invoice of Rs 500 per kg to convince the Customs here,” said Jojan Malayil, CEO of Bafna Enterprises, an exporter.
This is happening despite an import duty of over 50 per cent for Asean countries. “Till October, Vietnam has exported 2.48 lakh tonnes of which includes pepper imported by the country from Indonesia and Brazil,” Malayil said.

The International Pepper Community, the inter-governmental organisation of pepper producing countries, is likely to come out with global production estimate for 2020 next month. “It will be a surplus with good carryover from the current year which will keep the prices subdued,” said Rajiv Palicha, chairman, All India Spices Exporters Forum.




Read more at:
//economictimes.indiatimes.com/articleshow/71799047.cms

Brazilian Pepper Exports 2019

From the IPC 3rd Quarterly Report:

Shipments from Brazil to top 5 Destinations Jan - Aug 2019

1 Germany 6,314 Ton

2 Viet Nam 5,977 Ton

3 United States of America 5,310 Ton

4 Morocco 4,387 Ton

5 Egypt 3,352 Ton

Quality levels from Brazil seem to have improved significantly over the past few years

Be it B2, B1 or ASTA etc. Customers reported globally that cargo from Brazil has bolder berries, cleanercargo and higher density.
This has helped uplift the image of the origin. This has certainly helped theorigin to get far better market access.










WHATSAPP +5511988027709
MAIL manager@peppertrade.com.br
TWITTER : https://twitter.com/peppertrade 

INDIA: Pepper growers expect a good crop this year despite weather woes

V Sajeev Kumar Kochi Published on October 14, 2019

Changes in weather pattern have not dampened the hopes of pepper growers in getting better yields this season. They say that production for the 2019-20 crop season would be in the range of 50,000-55,000 tonnes. Last year’s estimated projection was 48,000 tonnes, but the final figure touched 52,000 tonnes.

“We were expecting a good crop in 2019-20 at more than 60,000 tonnes in the wake of growth spike during November and December in the previous year. However, drought-like conditions in March and April, followed by heavy rain and floods, shattered our expectations,” said Kishore Shamji of Kochi-based Kishor Spices.

He also differed with the projections made by the International Pepper Community for the 2019-20 crop season at 47,000 tonnes, saying that the figure could be higher at between 50,000 tonnes and 55,000 tonnes, almost at the same level as last year.

KK Vishwanath, Coordinator, Consortium of Black Pepper Growers Organisation, told BusinessLine that the final figure for the 2019-20 crop season would be available in a month, when the consultative meeting of the Spices Board with all stakeholders to decide on the crop estimate for 2020 is scheduled. “The production figure is likely to be flat this year, but there will be price variations for the crop,” he said.

Official sources said that the Spices Board is awaiting the figure for the 2019-20 crop from the Directorate of Arecanut and Spices Development, Kozhikode, and the report would be placed before the meeting of the Pepper Task Force scheduled to be held in October-end or November first week. In the 2018-19 season, according to DASD figures, black pepper production was around 62,400 tonnes spread over 1.38 lakh hectares.

Rajiv Palicha, Chairman, All India Spices Exporters Forum, said that the overall production in the domestic market this year is likely to be lower due to changes in weather pattern; it may range between 52,000 tonnes and 55,000 tonnes. “It is too early to say anything about the 2020 crop. We may be in a position to get a final figure by November or December,” Palicha said. Referring to rising pepper imports, he said, “We need it for value addition and the prices are also lower.”


According to Shamji, production both in Kerala and Karnataka last year had suffered due to the heavy rain, floods and landslides that destroyed many standing pepper vines.

Domestic prices are currently hovering around R$300-325 a kg, while the price in Sri Lanka is around R$200/kg ($2,800/tonne). This has forced exporters to look at imports rather than depend on the domestic market.
Quoting figures of August, Shamji said India is the second-largest importer of Vietnamese pepper, after the US, shipping in 16,600 tonnes, compared to 35,000 tonnes by the US.

If Sri Lankan pepper imports continue without any restrictions being imposed by the government, he anticipates a further decline in domestic prices, to R$250 per kg.

Even the minimum import price of R$500 per kg imposed by the government to restrict imports and save the domestic pepper growers has not yielded the desired result, as large volume of Vietnamese black pepper routed through Sri Lanka under SAFTA continues to reach Indian shores, flouting all rules, he alleged.

Published on October 14, 2019
https://www.thehindubusinessline.com/economy/agri-business/pepper-growers-expect-a-good-crop-this-year-despite-weather-woes/article29680611.ece






WHATSAPP +5511988027709
MAIL manager@peppertrade.com.br
TWITTER : https://twitter.com/peppertrade

VIETNAM - a preliminary survey of inventory situation and forecast next year's pepper crop

Through a preliminary survey of inventory situation and forecast next year's pepper crop, we would like to give you some information in the main material areas for references as follows;

1 / Daklak (38,616 hectares) & Daknong (36,300 hectares);
- The total area of these two provinces are 74,916 hectares – occupy around 50% Vietnam's pepper area (148.744 hectares as previous report)
- Due to favorable weather and pepper vines are in the good shape period (new pepper planting from 2013 to 2015), the expected output 2020 will increase by over 10% compared with 2019.
- Total pepper area is almost unchanged because farmers continuing to cultivate/plant new trees to take place of dead pepper vines.

2 / Dong Nai Province (19,022 hectares) & Ba Ria Vung Tau (13,161 hectares);
- These are the two provinces adjacent Ho Chi Minh City, so land prices have increased rapidly since 2017/2018. Many locations increased from 2 to 6 times within 1 - 2 years. Many farmers have sold their pepper plantation or converted their land purpose such as; building factories/warehouses/ for renting... The total area of pepper cultivation is expected to decrease by at least 20%.

3 / Binh Phuoc Province (17,178 hectares);
- Planting area has little change but the weather supporting for new crop. However, due to low prices, farmers did not focus on pepper cultivation as before.

4 / Gia Lai Province (16,267 hectares)
- Since 2017, the pepper plantation of Gia Lai province has continuously decreased sharply due to farmers' inexperience in pepper cultivation, a lot of pepper was dead but farmers could not cultivate another pepper tree due to soil in serious disease and the weather did not support pepper plants in this province.
- Previously, Gia Lai was the pepper capital of Vietnam due to the hot development but now many farmers/collectors… are facing worse financially situation such as; have to sell land/their house/ pepper plantation to pay loans from the bank, black credit ...
- It is expected that production will be decreased by 60% in the next crop and likely pepper crop in Gia Lai province not possible to recover in the next few years.

5/ Another 8,200 hectares in 17 diffirent area;
- 8.200 hectares scattered in many different provinces with constant natural conditions, we temporarily assess the output is similar compared to 2019.


Summary;
- Total output declines in most areas in Vietnam. Only Daklak and Daknong, production is expected continue to increase due to favorable weather conditions, pepper is in a healthy phase although farmers reduce fertilization/pesticides. Currently, these two provinces occupy 50% of Vietnam's pepper area but total production will around 60% - 65% at least in the next crop 2020.

- Although pepper prices now has decreased roughly 25% compared to January 2019, farmers in key areas still suppose pepper as a major agricultural and they could not convert to another agriculture product in nearest future.

- In most of the surveyed farmers/collectors/speculators, there are still has a lot of inventories, even inventories from 2017. Many different forecasts on specific numbers but we will not be surprised if carry over this year is above 70 - 80.000 metric tones. This is also an impact on raw material prices in the coming year.

- Expected Daksong district of Daknong province will be harvested during second half of December 2019. The main crop of Vietnamese pepper remains unchanged after Lunar New Year in February & March 2020.

- Vietnamese pepper quality is improving due to price now very low, almost farmers have to reduce fertilizer, not use pesticides to reduce their production costs.

- The total cultivated area may be reduced from 10% - 15% and crop size maybe reach around 250 – 270.000 metric tones in 2020.

- Price now very attractive and maybe continue come down in peak season next crop, however, the importer/buyers not much risky like before. My own opinion stockpile should be under consideration.

We will continue to update crop/inventory if any changes.

WHATSAPP +5511988027709
MAIL manager@peppertrade.com.br
TWITTER : https://twitter.com/peppertrade

IPC MARKET REPORT No. 40/19, 30 September - 4 October 2019

LOCAL MARKETS
Market this week showed mixed response with Indonesia recorded the lowest deficit for its black pepper. In local market, Malabar black pepper was reported stable averaging at USD 4,565 per Mt. Indonesia black pepper was reported to be traded negatively and was reported with the lowest ever prices in recent years. Recording a 10% deficit as opposed to the previous week at an average of USD 1,622 per Mt. The significant decrease in price of black pepper in Indonesia was as result of harvest period currently in full swing which flooded the market with product. Thus, pressuring the price in the local currency to an average of IDR 23,000 per Kg from IDR 25,500 per Kg in the previous week. Indonesia white pepper was reported with a 1% deficit when compared to the previous week averaging at USD 3,279 per Mt. Malaysian black and white pepper were reported with a 1% deficit as compared to the previous week at an average of USD 2,002 per Mt for black pepper and USD 3,516 per Mt for white peppe r. Furthermore, Viet Nam black and white pepper were reported with a decrease by 2% as compared to the previous week averaging at USD 1,726 per Mt for black pepper and USD 2,625 per Mt for white pepper. Sri Lanka black pepper was reported with a 1% increase as compared to the previous week at an average of USD 2,398 per Mt.

INTERNATIONAL MARKETS
In international market, the trend also showed mixed response as only Viet Nam reported an increase. FOB price of India black pepper was reported steady at an average of USD 4,847 per Mt. Indonesia black pepper was reported with a 9% deficit as compared to the previous week at an average of USD 2,018 per Mt. Whilst, Indonesia white pepper was reported with a 1% deficit when compared with the previous week at an average of USD 3,885 per Mt. Malaysia black and white pepper continued to be traded stable and unchanged. Furthermore, Viet Nam black pepper 500 g/l, 550 g/l and Viet Nam white pepper were reported with an increase by 1% respectively as opposed to the previous week averaging at USD 2,218 per Mt, USD 2,283 per Mt and USD 3,368 per Mt respectively.

WHATSAPP +5511988027709
MAIL manager@peppertrade.com.br
TWITTER : https://twitter.com/peppertrade

Pepper prices falling due to increasing global supply

From the beginning of the year until now, pepper exports recorded a sharp decline in almost all markets, but there were positive signs in the EU.  According to the latest information from the Department of Agricultural Product Processing and Market Development, in the first 8 months of 2019, the estimated export volume of pepper was 220,000 tons (561 million USD), up 27.4% in volume but decreasing 3.8% in value over the same period in 2018. Notably, the average export price of pepper in the period reached 2,556 USD / ton, down 24.5% over the same period in 2018.
The Import and Export Department (Ministry of Industry and Trade) said pepper prices were falling due to increasing global supply. However, in Vietnam, the quality of pepper is affected by excessive use of chemicals and pesticides, so the price is lower than that in other countries.
In the past 2 years, many countries such as Brazil, India, and Indonesia have become competitors to Vietnam in terms of output and quality. In particular, Brazilian pepper is better quality with 80% of the world market selling organic standards.
While the price of pepper is still very low, the cost of producing pepper tends to increase. Vietnam's pepper production cost in 2018 increased by at least 10% compared to 2017. The selling price of pepper decreased by over 30%, causing huge difficulties for pepper growers.
The Agro Processing and Market Development Department said in the first 8 months of 2019 pepper exports to Germany increased: in the first 7 months, reached 8,000 tons, equivalent to USD 23.4 million, up 53.3% in volume and 14.4% in value over the same period in 2018. Germany increased imports of pepper to serve the growing pepper processing industry in this country.
The successful signing of the Vietnam-EU Free Trade Agreement (EVFTA) will be a good opportunity for Vietnam's pepper industry.  As part of the agreement, EU countries commit to eliminating tariffs on pepper products (HS code 09.04) right after it comes into effect. Opportunities for Vietnamese export will increase due to the agreement.
Typically, Metalaxyl chemical residues were found on pepper imported into the European market. Previously, the maximum permitted amount of Metalaxyl chemicals on pepper imported into the EU was 0.1 ppm, but the European Commission (EC) has requested to adjust this level to 0.05 ppm. By 2018, only 46% of Vietnam's pepper has met the export standards. Besides, Vietnam still faces the risk of origin of imported pepper products from third markets. Vietnam imports pepper from other producing countries, accounting for about 10% of Vietnam's total pepper exports, mainly for processing.
In the domestic market, prices of pepper fluctuated in August. Compared to the previous month, prices of pepper in Dak Lak, Dak Nong, Gia Lai and Ba Ria Vung Tau decreased by VND 500 / kg to VND 43,500 - 45,500 / kg. Pepper prices in Dong Nai decreased by VND 1,000 / kg to VND 43,000 / kg.

From https://www.freshplaza.com/article/9148608/pepper-prices-falling-due-to-increasing-global-supply/

Agroberichten Buitenland
Tel: +31 (0)70 379 8911
Email: agroberichtenbuitenland@minlnv.nl 
www.agroberichtenbuitenland.nl

Publication date: Mon, 30 Sep 2019

IPC MARKET REPORT No. 39/19, 23 September - 27 September 2019

LOCAL MARKET

Market this week showed mixed response as only India with an increase. In local market, Malabar black pepper was reported with an increase by 1% as compared to the previous week averaging at USD 4,582 per Mt. Indonesia black and white pepper were reported to be traded stable with an average of USD 1,804 per Mt and USD 3,325 per Mt respectively.
Malaysian black and white pepper were reported with a 1% deficit as compared to the previous week at an average of USD 2,025 per Mt for black pepper and USD 3,550 per Mt for white pepper.
Furthermore, Viet Nam black and white pepper were also reported with a decrease by 1% and 6% respectively as compared to the previous week averaging at USD 1,765 per Mt for black pepper and USD 2,669 per Mt for white pepper. The significant decrease in price of white pepper in Viet Nam was contributed to the decreasing in average price of Viet Nam white pepper in the local currency with an average of VND 63,500 per Kg from VND 67,500 per Kg in the previous we ek or a decrease by VND 4,000 per Kg.
Sri Lanka black pepper was reported with a 1% deficit as compared to the previous week at an average of USD 2,377 per Mt. Whilst,
China white pepper was reported to be traded with an average of USD 4,645 per Mt.


INTERNATIONAL MARKET
In international market, FOB prices of most origin were reported stable with only India reported an increase.
FOB price of India black pepper was reported with the same 1% increase as compared to the previous week at an average of USD 4,864 per Mt.
Indonesia black and white pepper were reported steady averaging at USD 2,227 per Mt for black pepper and USD 3,938 per Mt for white pepper.
Malaysia black and white pepper continued to be traded stable and unchanged.
Furthermore, Viet Nam black pepper 500 g/l, 550 g/l and Viet Nam white pepper were also reported stable.
China traded its white pepper in the international level with an average of USD 4,845 per Mt. 








WHATSAPP +5511988027709
MAIL manager@peppertrade.com.br
TWITTER : https://twitter.com/peppertrade

IPC MARKET RPORT No. 37/19, 9 September - 13 September 2019

LOCAL MARKETS
Market this week showed mixed response.
In local market, Malabar black pepper was reported with an increase by 1% as compared to the previous week averaging at USD 4,604 per Mt.
Indonesia black pepper was reported with a 1% deficit as compared to previous week with an average at USD 1,923 per Mt, In local currency, Indonesia black pepper was traded with an average of IDR 27,000 per Kg decreasing marginally by IDR 500 per Kg. Whilst, Muntok white pepper was reported with an increase by 1% as compared to the previous week averaging at USD 3,419 per Mt.
Malaysian black and white pepper were reported stable averaging at USD 2,062 per Mt and USD 3,604 per Mt respectively.
Viet Nam black pepper was reported with a decrease by 1% as compared to last week, averaging at USD 1,829 per Mt. Whilst, Viet Nam white pepper was reported stable with an average of USD 2,839 per Mt.
Furthermore, Sri Lanka black pepper was reported with a 2% deficit as opposed to the previous week with an average of U SD 2,407 per Mt.
China white pepper was reported stable and unchanged.

INTERNATIONAL MARKETS
In international market, FOB price of India black pepper was reported with the same 1% increase as compared to the previous week at an average of USD 4,884 per Mt.
Indonesia black pepper was reported with a 1% deficit as compared to the previous week averaging at USD 2,364 per Mt. Whilst, Indonesia white pepper was reported with an increase by 1% as compared to the previous week with an average of USD 4,044 per Mt.
Malaysia black and white pepper continued stable and unchanged. Furthermore,
Viet Nam black pepper 500 g/l, 550 g/l and Viet Nam white pepper were reported with a decrease by 2%, 1% and 1% respectively as opposed to the previous week averaging at USD 2,226 per Mt, USD 2,291 per Mt and USD 3,376 per Mt respectively.
China traded its white pepper stable in the international level with an average of USD 4,975 per Mt.

 

WHATSAPP +5511988027709
MAIL manager@peppertrade.com.br
TWITTER : https://twitter.com/peppertrade

SRI LANKA - Spices industry affected by falling prices

 The biggest problem faced by the spices industry is the present declining prices, lamented Rumesh Jayasuriya, Chairman, Spices and Allied Products Producers and Traders Association (SPPTA), speaking at the 35th AGM of the SPPTA held at Ramada Hotel Colombo, last week.

By Quintus Perera
27 August 2019

The biggest problem faced by the spices industry is the present declining prices, lamented Rumesh Jayasuriya, Chairman, Spices and Allied Products Producers and Traders Association (SPPTA), speaking at the 35th AGM of the SPPTA held at Ramada Hotel Colombo, last week.

He pointed out that the industry has to improve unrestrained innovation and show continuous improvements among growers, plantations, processors, brokers, exporters, etc and noted that the international market has been transformed into a borderless technology-driven market place.

He indicated that the consumers world over are knowledgeable and discerning as they wanted experiences and products that reflect their fast-paced lifestyles and convenience. 

On the sidelines of the event, Mr. Jayasuriya told the Business Times that the decrease in the pepper prices could be identified as the main reason for the downfall of spices prices as the Indian Government has imposed a minimum import price (MIP) for black pepper.  That is Indian Rs. 500 (Rs.1,250) per kg exported to India.

The imposition of this MIP, he said has made it technically difficult now to export black pepper to India and asserted that earlier these exports were not subject to a MIP in India. He said that the industry is rather concerned of this new development and blamed the government for not negotiating with the Indian Government for its removal.

He said that the delay in the certificate by ISFTA (Into-Sri Lanka Free Trade Agreement) and the SFTA (South Asian Free Trade Agreement) to certain spices such as nutmeg and pepper is also another constraint.

The high cost of production is also another issue where they find difficulties in competing in the international market, as he said that the cost of production is very low in other exporting countries.

He said that there is another danger emerging – that is the illegal importation of spices as there were several occasions of such imports being detected.  He was worried that there is no proper legal mechanism to stop illegal import of spices and no proper legal action has been taken to punish those wrongdoers. 

More than 70 per cent of spice exports are to Asian and West Asian destinations while the balance goes to Europe and North America, he said.

Dr. A.P. Heenkende, Director General, Department of Export Agriculture, in his keynote address said that despite challenges, spice and allied products is a major contributor in exports.

It was 48,331 metric tonnes (Mt) in 2018 compared to 59,000 Mt in 2017 with the drop attributed to the decline in the export of cloves and Areca nuts. Cinnamon exports grew from around 2016. 

He said that US was the main buyer of Cinnamon leaf and bark oils, Citronella oil, Ginger oil and Lemon grass oil in 2018. France, Canada, India, Spain and Germany were the main buyers of Cardamom oil, Clove oil, Nutmeg oil, Pepper oil and Vanilla oil in 2018.

The average annual farm-gate price of Coffee, Clove, Cinnamon quills, Mace, Cardamom and Betel had increased in 2018 while betel exports registered a high price in 2018, he indicated.

He cautioned that Sri Lanka has to rethink on how to find a long term solution for this major problem in the spice sector and said that the government has taken policy decisions regarding the complete ban on imports of Cinnamon, black pepper, Nutmeg, Turmeric and Areca nut.

Ghulam Chatoor, Founder Chairman, SAPPTA, was the guest of honour at the occasion.

http://www.sundaytimes.lk/article/1100123/spices-industry-affected-by-falling-prices




------------------------------------------

WHATSAPP +5511988027709
MAIL manager@peppertrade.com.br
TWITTER : https://twitter.com/peppertrade
------------------------------------------

IPC MKT REPORT 34/19, 19 August - 23 August 2019

Local Market

Market this week showed mixed response with a rather stable outlook as only Malaysia recorded deficit. In local market, Malabar black pepper was reported stable with an average of USD 4,692 per Mt. Indonesia black pepper was also reported steady with an average of USD 1,896 per Mt. Whilst, Indonesia white pepper was reported with an increase of 1% as compared with the previous week, averaging at USD 3,406 per Mt. In local currency, Muntok white pepper was traded with an average of IDR 48,500 per Kg increasing marginally by IDR 500 per Kg. This week, Malaysian black and white pepper was reported with a decrease by 3% and 1% respectively as opposed to the previous week averaging at USD 2,267 per Mt for black pepper and USD 3,840 per Mt for white pepper.
Viet Nam black and white pepper were reported stable and unchanged.
Sri Lanka black pepper reported with an increase by 1% as compared to the previous week averaging at USD 2,509 per Mt while China white pepper was reported stable with an average of USD 4,795 per Mt.

International Market
In international market, FOB price of India black pepper was reported steady with an average of USD 4,971 per Mt.
Indonesia black pepper was reported stable and unchanged. Whilst, Indonesia white pepper was traded with 1% increase as compared to the previous week with an average of USD 4,026 per Mt. Contrary to the farm gate price, Malaysia FOB prices for black and white pepper continued stable and unchanged. Furthermore, Viet Nam black pepper 500 g/l, 550 g/l and Viet Nam white pepper were reported stable averaging at USD 2,270 per Mt, USD 2,335 per Mt and USD 3,420 per Mt respectively.
China white pepper was also reported stable and unchanged averaging at USD 4,995 per Mt.

------------------------------------------ WHATSAPP +5511988027709 MAIL manager@peppertrade.com.br ------------------------------------------

IPC MARKET REPORT 33/19, 12 August - 16 August 2019

Local Market
Market this week showed mixed response with a rather negative outlook.
In local market, Malabar black pepper was traded with 2% deficit as compared to the previous week with an average of USD 4,679 per Mt.
Indonesia black pepper was reported steady with an average of USD 1,894 per Mt. Following the arrival of new crop, Indonesia white pepper was reported with a slight 1% deficit as opposed to the previous week averaging at USD 3,366 per Mt. In local currency, Muntok white pepper was traded with an average of IDR 48,000 per Kg
Malaysian black and white pepper were reported stable with an average of USD 2,340 per Mt for black pepper and USD 3,860 per Mt for white pepper.
Viet Nam black and white pepper were also reported stable and unchanged.
Following the end of harverst season both in Sri Lanka and China, Sri Lanka black pepper and China white pepper were traded with the same 2% deficit as compared with the previous week with an average of USD 2,493 per Mt and USD 4,790 per Mt respec tively.

International market
In international market, FOB price of India black pepper was reported with the same 2% deficit as compared to the previous week at an average of USD 4,960 per Mt.
Indonesia black pepper was reported stable and unchanged. Whilst Indonesia white pepper was traded with 1% deficit as compared to the previous week with an average of USD 3,982 per Mt.
Malaysia black and white pepper continued stable and unchanged.
Furthermore, Viet Nam black pepper 500 g/l, 550 g/l and Viet Nam white pepper were reported with an increase by 1% as compared to the previous week averaging at USD 2,265 per Mt, USD 2,330 per Mt and USD 3,415 per Mt respectively.
China white pepper was traded internationally with 2% deficit as opposed to the previous week at an average of USD 4,990 per Mt. The decrease in price of China white pepper aside from the effect of harvest season, it was also contributed by the slight weakening of Chinese Yuan against US Dollar.



------------------------------------------

WHATSAPP +5511988027709
MAIL manager@peppertrade.com.br
------------------------------------------

Do you want more traffic, leads and sales?

Try Feedspot Marketing Solutions Free for 1 week. Continue

IPC MKT REPORT No. 27/19, 1 July - 5 July 2019

MARKET REPORT
Market in the first week of July 2019 showed mixed response albeit slightly negative.
In local market, Malabar black pepper was traded with a 2% deficit as compared to the previous week with an average of USD 4,879 per Mt.
India black pepper price in local currency was reported at INR 336 per Kg on Thursday.
Indonesia black pepper was reported stable, whilts Indonesia white pepper was reported to be traded with a deficit by 1% as compared to the previous week. Averaging at USD 2,052 per Mt for black pepper and USD 3,431 per Mt for white pepper. Indonesian black and white pepper in local currency were traded at an average of IDR 29,000 per Kg and IDR 48,500 per Kg respectively.
Malaysian black and white pepper was reported stable and relatively unchanged as compared to the previous week, averaging at USD 2,475 per Mt for black pepper and USD 3,908 per Mt for white pepper.
Viet Nam black pepper was reported to be traded with a slight 1% deficit as compared to the previous week, averagi ng at USD 1,945 per Mt, whilst Viet Nam white pepper reported unchanged.
Sri Lanka black pepper continued to be traded negatively and was reported with the lowest ever prices in recent years. Recording a 5% deficit as opposed to the previous week at an average of USD 2,681 per Mt. China white pepper followed the negative trend and was traded with a 2% deficit.

In international market, FOB price of India black pepper was reported with slight deficit of 1% as compared to the previous week at an average of USD 5,169 per Mt.
Indonesia black pepper was reported stable with an average of USD 2,509 per Mt whilst Indonesia white pepper was reported to be traded with a 1% deficit as compared to the previous week.
Malaysia black and white pepper were reported unchanged, averaging at USD 3,685 per Mt and USD 5,275 per Mt respectively.
Furthermore, Viet Nam black pepper 500 g/l, 550 g/l and Viet Nam white pepper were reported with a 1% deficit as opposed to the previous week with an average USD 2,315 per Mt, USD 2,380 per Mt and USD 3,465 per Mt respectively.
China white pepper was reported with a 2% deficit as opposed to the previous week at an average USD 4,921 per Mt in the international market.
US market was reported stable and unchanged with Muntok spot price being reported at USD 5,072 per Mt. 

WHATSAPP +5511988027709
MAIL manager@peppertrade.com.br