VIETNAM - #PEPPER MARKET UPDATE 25TH FEB 2020 – WEEK 9;

#PEPPER:

Vietnam;
Pepper market firmer and increasing tone around 100$ from last week. Exporters have been covering short position for Feb/First Half March shipment beside some middleman/collectors buying huge quantity to keep stock. We heard some demand coming from China (Pay Full Tax) for prompt shipment that encourage farmers hold on and not offer in bulk. Good demand coming from Middle East/Nepal/India for March/April shipment especially black pepper 5mm bold cause shortage BOLD raw material in this time. USA customer more interesting to cover full year shipment but processor/exporters hesitate to offer long shipment. 

China;
The borderline start opening but not easy to clear cargo from trucking like before. The business in border trade maybe continue very tight until second quarter.

Brazil
Market uptrend continue and stock limited. Exporters cautious to offer second quarters shipment.

IPC- SPECIAL ISSUE ON CLOVE - FEBRUARY, 2020 EXTRACT

Starting this week we´ll be publishing a comprehensive report about Cloves Market, docused on Indonesia.
Due to extension of the information we are publishing extracts with important information.
Follow us next week to get a comprehensive picture of present days Cloves Situation.

This report was elaborated under the supervision of International Pepper Community and information provided by the sources below:
- International Trade Centre (ITC) - Geneva
- Food and Agricultural Organization (FAO)
- Agricultural Commodity Export-Import Database, Ministry of Agriculture of the Republic of Indonesia
- Agricultural Commodity Price Information, Ministry of Agriculture of the Republic of Indonesia
- Directorate General of Estate Crops, Ministry of Agriculture of the Republic of Indonesia


SUMMARIZING

Farm gate price of cloves in Indonesia in the first quarter of 2019 fluctuated with a rather negatively outlook (Table 12). During that period, in several regency of cloves producer, clove farm gate price was reported to have recorded the highest price with IDR 100,000 per Kg (USD 7.0 per Kg) in January and February at Bima Regency and in January at Cianjur Regency, whilst the lowest price occurred in February at Ende Regency with only IDR 79,000 per Kg (USD 5.6 per Kg). Furthermore, the average farm gate price of cloves in most regions in Indonesia during January-April 2019 was recorded at IDR 85,139 per Kg (USD 6.02 per Kg).

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CHECK NEXT WEEK FOR THE FULL REPORT

#PEPPER - SPICES MARKET UPDATE 21ST FEB 2020 – WEEK 8

Vietnam; Pepper market after being stable for 2 weeks, has shown more signs of bullish trend when prices have increased by about 40 - 50$/MT in the past 2 days.

Currently, the pepper harvesting spread all area in Vietnam, but it is expected to peak season arriving in next 2-3 weeks. However, Due to the low price of pepper, many farmers have lost money, they do not take well care and focus on harvesting as in previous years.

Many farmers harvesting by themselves instead of hire worker to reduce their labor costs. This will take to longer harvesting times than before and raw material of new crop to the market is very slow.

Most of the farmers only sell raw material as little as possible and this year's storage trend is much bigger than before. Although it is in pepper season that not easy to buy large quantities like before.

Exporters still have to covering raw material for February/FH March shipment so the price trend maybe stable in the next 1-2 weeks is foreseen.

The low price has also stimulated several agents, collectors as well as traders to buy more and stockpiling.

China; The borderline continues to close, but both governments Vietnam and China have regulations to make goods exchange and trading more favorable than before. We hope the Corona Virus will be shut down soon and the border trade will going smoothly in the next weeks.

India; We heard market firmer, Malabar black pepper an increase of 1% as compared to the previous week.

Indonesia;  Black and white pepper was reported stable.

Malaysia/Srilanka;  Black and white pepper with a 2% and 1% easier to the previous week

Brazil; Market uptrend, farmer/exporters hesitate to offer with discounting on the price. Stock we heard less and limited to offer March/April shipment.

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