Thursday, December 12, 2019

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.






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Monday, November 25, 2019

IPC REPORTS -IMPORT OF PEPPER BY DENMARK



Denmark, officially the Kingdom of Denmark is a Nordic country. Denmark proper, which is the southernmost of the Scandinavian countries, consists of a peninsula, Jutland, and an archipelago of 443 named islands. Denmark actively imports pepper from various pepper producing countries for domestic consumption or for re-export.
In 2017, Denmark was reported to have imported a total of 1,122 Mt of pepper which 27% or 300 Mt of it comprised of whole pepper while 73% or 822 Mt of it was ground pepper. The average import by Denmark in 2017 was reported to be 93 Mt per month with the highest quantity recorded in July with 139 Mt. The total expenditure of pepper imported by Denmark was reported to be as high as USD 12.2 Million, recording an average price of the total pepper imported by Denmark at USD 11,083 per Mt for whole pepper and USD 10,905 Per Mt for ground pepper.
Year 2018 saw a decreasing trend in term of quantity of pepper imported by Denmark. Denmark was reported to have recorded a total of 1,071 Mt which comprised of 23% or 246 Mt of whole pepper and 77% or 825 Mt of ground pepper. Thus, recording a decrease of 5% as compared to the same period in 2017. On average Denmark was reported to have imported 89 Mt per month and peaked in April with 132 Mt. In accordance with decreasing in terms of quantity, Denmark's expenditure for pepper import was reported to have declined by 15% to a total of USD 10.4 Million, recording an average price of the total pepper imported by Denmark at USD 11,037 per Mt for whole pepper and USD 9,407 per Mt for ground pepper or a decrease by 0.4% and 14% respectively as compared with 2017.
Pepper import by Denmark as of June 2019 was reported with a decrease of 17% as compared with the same period in 2018, totalling at 460 Mt which comprised of 97 Mt of whole pepper and 363 Mt of ground pepper. The total expenditure of pepper import by Denmark as of June 2019 was reported with a decrease by 27% as compared to the same period in the previous year, totalling at USD 4.0 Million.
The top five countries of origins of Denmark's pepper both for whole and ground as of June 2019 were reported to be Germany with 225 Mt (a decrease of 7% as compared with the same period in 2018), Sweden with 83 Mt (an increase of 6%), Netherlands with 53 Mt (an increase of 464%), Spain with 43 Mt (an increase of 40%) and India with 12 Mt (a decrease of 48%). The significant decrease of Denmark import from India could be contributed that Denmark started to shift import to Netherlands as one of the re-export hub to European countries (an increase by 44 Mt as compared to the same period in 2018).












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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.














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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.









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Wednesday, November 13, 2019

SAFRON - USA TESTS GROWING POSSIBILITY

Researchers in Rhode Island have been growing test plots of the pricey plant—and it's thriving. Some think this could disrupt the global saffron economy.

 Jessica Fu








Dr. Rebecca Brown thought that the sun had set on this year’s saffron harvest. The autumn-blooming plants—which she and her colleague had planted in the University of Rhode Island’s agronomy farm to the northwest of campus—hadn’t produced flowers in days, and winter was imminent.

“We were already a couple of weeks into harvest,” she says. “We thought it was finished.”

Then on Thursday morning, Brown discovered that, unexpectedly, fresh flowers had sprung out from the soil overnight—a sign of just how suitable growing conditions on the Northeast could now be for a lucrative plant that Americans have traditionally imported.

This is the third year that Brown and her colleague, Dr. Rahmatallah Gheshm, have harvested saffron in Rhode Island. Brown is an associate professor of plant sciences, and Gheshm is a postdoctoral fellow in agro-ecology. Their harvests are part of an ongoing research project aimed at assessing how viable commercial farming of the crop could be in the Northeast.

Saffron flower in handRahmatallah Gheshm   

The disproportionate amount of work that goes into producing each strand makes saffron the most expensive spice in the world, commanding up to $10,000 per pound

“We’re just trying to answer some very basic questions starting with: Can we grow saffron outdoors in Rhode Island?” Brown says. “[We’re] looking at whether we needed to provide winter protection or not, and what sort of planting density would be best here.”

At the center of every saffron flower are three thin, red threads, called stigma. Once extracted, producers sell these stigma as a valuable and aromatic spice, also called saffron, a coveted ingredient in Middle Eastern, South Asian, and European cooking. Its labor-intensive production and the disproportionate amount of work that goes into producing each strand makes saffron the most expensive spice in the world, commanding up to $10,000 per pound. This means that farmers in the Northeast stand to make a lot of money if commercial saffron harvesting could be incorporated into their production schedule.

Saffron plants in Rhode Island don’t appear to need the protection of hoop houses during the winter, when the leaves sprout in scallion-like grasses.

To conduct their research, the scientists planted 6,000 corms—the bulbous beginnings of every saffron flower—into a field measuring approximately 158 square feet. The land was divided into 16 separate plots, each measuring about 13 by 2.5 feet. To find saffron’s optimal growth conditions, Brown and Gheshm varied density among the plots, protected some with hoop houses during the winter, and left others uncovered year-round.

The idea to grow saffron in Rhode Island came to Gheshm after he was inspired by the Vermont-based saffron research of a friend and former classmate he’d met in their shared home country, Iran. He was curious about how harvest of the spice could be transferred to the particular climate of the Ocean State.

“The milder winters encouraged us to try planting saffron outdoors in Rhode Island, in southern New England,” Gheshm says. In Vermont, researchers needed to transfer their saffron plants into hoop houses during the winter to protect them from the cold.

The study’s results won’t be final until after this season’s harvest is over, but Brown and Gheshm tell me that they’ve already gleaned some preliminary findings. For one, saffron plants in Rhode Island don’t appear to need the protection of hoop houses during the winter, when the leaves sprout in scallion-like grasses. After this year’s harvest, Brown and Gheshm plan to conduct a follow-up experiment, looking at how saffron farming might be able to co-exist—particularly in the summer when saffron plants are dormant—with other crops that local farmers already grow. The project has secured funding from the Department of Agriculture’s Specialty Crop Block Grant Program.
Saffron samplesRahmatallah Gheshm   

At the center of every saffron flower are three thin, red threads, called stigma. Once extracted, producers sell these stigma as a valuable and aromatic spice

“Could we grow something else like basil or lettuce on that land while the saffron is sleeping underneath?” Brown asks. If so, farmers “could make more money off the space.”

Right now, Iran is the highest saffron-producing country in the world, exporting nearly half of the world’s market, according to UN trade data. However, compared to the sunny, dry conditions in Iran, Rhode Island has a much higher humidity level—the impact of which Brown and Gheshm wanted to observe in their study. So far, however, it appears that the humidity might not be a problem. U.S. is a major saffron buyer, and its demand has never been higher. In 1992, the U.S. imported $3.17 million worth of the spice, a value that has since risen steadily to $16 million last year, according to Census data.

Because of issues like America’s economic sanctions against Iran, Gheshm explains, most of the U.S.’s saffron imports come from through Spain, which is both a major importer and exporter of the spice. Brown believes that local production of saffron can meet the rising demand from American consumers, which she attributes to an increasingly diverse population. What better way to get around a middle man than to grow it in our own backyards?

https://newfoodeconomy.org/saffron-northeast-university-of-rhode-island-iran/

Jessica is a reporter for The New Food Economy. Reach her by email at jessica.fu@newfoodeconomy.org and on Twitter @JessTiaFu.

Monday, November 04, 2019

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.






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Wednesday, October 30, 2019

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.


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

Tuesday, October 15, 2019

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.











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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







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Friday, October 11, 2019

IPC REPORT - EXPORT OF PEPPER BY CHINA



China officially the People's Republic of China (PRC or PR China), is a country in East Asia and the world's most populous country with a population of around 1.44 billion as per October 2019 (source : population.un.org). China is one of the producers of white pepper in the world with cultivation area concentrated in the peninsula of Hainan. As majority of the pepper product in China does not leave the country, China is considered as one of the highest consumers of pepper among pepper producing countries. However, China also exports pepper to various countries in the world.

In 2017, China was reported to have exported a total of 1,311 Mt of pepper from which 43% or 563 Mt of it comprised of whole pepper and 57% or 749 Mt of it ground pepper. China on average exported a total of 109 Mt per month in 2017. The total revenue of China export in 2017 was reported to be as high as USD 14.8 Million, Thus, recording an average price of the total pepper exported by China at USD 9,831 per Mt for whole pepper and USD 12,496 per Mt for ground pepper.


Year 2018 saw an increasing trend in term of quantity of pepper exported by China. China was reported to have exported a total of 2,523 Mt of pepper of which 64% or 1,606 Mt of it comprised of whole pepper and 36% or 916 Mt of it ground pepper. Thus, recording a significant 92% increase in term of quantity as compared to the same period in 2017. The average export of pepper by China was reported to be at 210 Mt per month. In accordance with increasing in terms of quantity, China's revenue from pepper export was reported to have increased by 34% to a total of USD 19.9 Million, recording an average price of the total pepper exported by China at USD 6,046 per Mt for whole pepper and USD 11,158 per Mt for ground pepper or a decrease by 38% and 11% respectively as compared with 2017.


As of July 2019, China was reported to have exported a total of 1,081 Mt which comprised of 692 Mt of whole pepper and 388 Mt of ground pepper. Thus, recording a loss of 23% when compared to the same period in 2018. By the end of July 2019, the total revenue of pepper export by China was reported to have reached USD 7.2 Million, recording a decrease by 41% as compared to the same period in 2018. The average price of the total pepper exported by China as of July 2019 was reported at USD 6,017 per Mt for whole pepper and 7,891 per Mt for ground pepper. Furthermore, as of July 2019, China's top 5 country destinations for its pepper were reported to be North Korea with 343 Mt (a decrease of 35% as compared with the same period in 2018), Hong Kong with 160 Mt (an increase of 37%), United States of America with 153 Mt (an increase of 19%), Germany with 115 Mt (an increase of 92%) and Thailand with 49 Mt (an increase of 12%). 











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IPC Market Report No. 41/19, 7 - 11 October 2019


LOCAL MARKET 
Market this week showed mixed response with Sri Lanka recorded the highest increase for its local market price and Viet Nam for its International market price.
In local market, Malabar black pepper was traded with a 1% deficit as compared to the previous week with an average of USD 4,516 per Mt.
Indonesia black and white pepper were reported stable and relatively unchanged at an average of USD 1,624 per Mt and USD 3,284 per Mt respectively.
Malaysian black and white pepper were also reported stable with an average of USD 2,000 per Mt for black pepper and USD 3,513 per Mt for white pepper.
Furthermore, Viet Nam black pepper was reported with a decrease by 1% as compared to the previous week averaging at USD 1,702 per Mt. Viet Nam white pepper was reported to be traded stable with an average of USD 2,626 per Mt.
Recording a 7% spike as opposed to the previous week, Sri Lanka black pepper became the only product which recorded an increase in local market and was traded at an average of USD 2,570 per Mt.
Whilst, China white pepper was reported to be traded with an average of USD 4,635 per Mt.


INTERNATIONAL MARKETIn international market, the trend also showed mixed response as only Viet Nam reported an increase.
FOB price of India black pepper was reported with the same 1% deficit as compared to the previous week at an average of USD 4,797 per Mt.
Indonesia black and white pepper was reported steady with at an average of USD 2,021 per Mt for black pepper and USD 3,891 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 and 550 g/l were reported with an increase by 6% respectively as opposed to the previous week averaging at USD 2,345 per Mt and USD 2,410 per Mt respectively.
Viet Nam white pepper was also reported with an increase by 4% when compared to the previous week averaging at USD 3,495 per Mt.
The increase of Viet Nam prices in international market could be contributed to China buying significant amount of pepper from Viet Nam. As of August 2019, Viet Nam's top country of destination is China.
China traded its white pepper in the international level with an average of USD 4,835 per Mt. 











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Monday, October 07, 2019

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.


















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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

Thursday, October 03, 2019

Star Anise Seeds


New crop staraniseeds from Vietnam is available. For this product there are 2 crops (autumn & spring); autumn crop is the far better quality in colour, size and overall appearance. The best growing area is Lang Son, here we find the premium qualities.

Van der Does
http://doesspice.com/


·

Monday, September 30, 2019

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:

Friday, September 27, 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


Descrição: Imagem removida pelo remetente.

Tuesday, September 17, 2019

FROM VIETNAM- PEPPER MARKET UPDATE 16TH SEPT 2019.



Vietnam
According to customs and VPA data, Vietnam has exported 19,456 of which 17,460 tons were black pepper and 1,996 tons were white pepper, the exports in August reached 46 million $.
Compared to the previous month, exports decreased by 17.1% in volume and 18.8% in value…

The tightening of border trade in China recently make sharp decrease export to China.
In August, pepper exports to China only 1,312 tons, less 5,000 tons compared to July.
Meanwhile, US pepper imports increased from 3,686 tons in July to 4,635 tons in August. It is also biggest market of Vietnam pepper.
The next major import markets follows as India, Arab, Turkey, Germany ...

Pepper market was down sharply from last week due to a lots of raw material stuck in China border, many container/trucking could not deliver and have to return and kept in Vietnam collectors warehouse.
Border clearance come to a standstill and we don’t know when go smoothly again.
Other information: Many collectors/middleman stockpiling coffee and beginning this month is loan maturity so they have to sell other agriculture product to cover temporary tight financial situation.

Brazil: Pepper price is most competitive as usual due to Real too weak compare with USD.
Difficult to other origin as Vietnam/Indonesia in pepper price when currency still keeping steady.

Indonesia:
Market up significantly when crop 2019 has finished. Business very slow as we heard due to price not competitive.