Vietnam pepper exports to top 1 billion USD in 2024

Vietnam could ship more than 1 billion USD worth of pepper abroad for the whole 2024 on the back of high global demand and limited supply, according to the Vietnam Pepper and Spice Association (VPSA).

September 1, 2024 at 03:50:19

 

 

Hanoi (VNA) – Vietnam could ship more than 1 billion USD worth of pepper abroad for the whole 2024 on the back of high global demand and limited supply, according to the Vietnam Pepper and Spice Association (VPSA).

The pepper industry, the association said, is on track to return to the "billion-dollar" club, with export revenues hitting 764.2 million USD as of July 30.

During the seven-month span, more than 164,300 tonnes of pepper was sold to foreign markets at an average export price of 4,568 USD per tonne for black pepper and 6,195 USD per tonne for white pepper, up 32.7% and 25%, respectively, year on year.

The US was the largest purchaser, followed by Germany, the United Arab Emirates (UAE), and India.

Brazil, the world’s second biggest black pepper producer and exporter, has suffered crop failure, driving global prices skyward for the remaining months of 2024. Production in Vietnam, Malaysia and Indonesia is also forecast to fall sharply due to the impacts of El Nino.

In the next three to five years, pepper supply will lag behind demand.

Domestic pepper prices in July fetched 150,000 VND (over 6 USD) per kilogramme, rising 82.9% against January, and 120.6% year-on-year.

The VPSA forecast a fluctuation in the pepper prices in the coming time due to formidable challenges in the market.

According to a survey conducted by the VPSA in three Central Highlands localities in July, along with extreme weather caused by climate change, farmers chose durian and coffee production over pepper as the first two fetch higher prices.

Vietnam’s key pepper planting areas of Gia Lai, Dak Lak and Dak Nong in the Central Highlands, and Binh Phuoc, Dong Nai and Ba Ria – Vung Tau in the Southeastern region slashed cultivation acreage by 50% as compared to peak cultivation times./.

VNA

 

Pepper market update 2nd Sept 2024 – Week 35.

 

We would like to send you a quick highlight

 

• Last week, the price of pepper gradually recovered, increasing from 148,000 VND to 156,000 VND, corresponding to a 5,4% increase.

• The strong demand from the Chinese and Middle Eastern markets has led to a rapid increase in pepper prices recently.

 

In the first seven months of 2024, China’s imports of Vietnamese pepper amounted to only 8,059 tons (compared to the usual annual imports of 50,000-57,000 tons from Vietnam, excluding the Covid years). However, last week, demand from China has returned with immediate orders for large quantities ranging from 3,000 to 4,000 tons. It seems that China’s inventory has significantly decreased after a long period of minimal purchases, necessitating large purchases to compensate for the shortage of raw materials as global pepper production is expected to continue declining over the next few years.

 

The domestic pepper market in China also recorded a rapid increase, rising from 47 RMB to 51 RMB within just two days, corresponding to an increase of 8.5% in a very short period.

 

Additionally, there is also strong demand from the Middle Eastern market for immediate orders after selling off the cheaper stock imported earlier this year, making the pepper market more dynamic.

 

Please see the REPORT FILE & FULL QUOTATION LIST by click to download.

 

https://drive.google.com/file/d/1MrPT0olI4RDZwUTuZeGAWKLWqYKStr7U/view?usp=sharing

 

Pepper Market September 3, 2024

 

Pepper Market September 3, 2024: Domestic prices increased for the 4th day, Brazilian pepper prices increased sharply

Posted onSeptember 3, 2024by VPA

03
Sep

Pepper prices today, September 3, are in the range of 151,000 - 152,000 VND/kg. This is the fourth consecutive day of increase in the domestic market. Meanwhile, IPC continues to reduce pepper prices in Indonesia, but increases sharply in Brazil.

At the end of the most recent trading session, the International Pepper Community (IPC) listed the price of Lampung black pepper (Indonesia) at 7,498 USD/ton, down 0.41%; the price of Brazilian black pepper ASTA 570 at 7,000 USD/ton, up 7.86%; the price of Kuching black pepper (Malaysia) ASTA at 8,500 USD/ton.

Muntok white pepper price is 8,829 USD/ton, down 0.41%; Malaysian ASTA white pepper price is at 10,400 USD/ton.

Vietnam black pepper prices are trading at 6,100 USD/ton for 500 g/l; 6,500 USD/ton for 550 g/l; white pepper prices are at 8,800 USD/ton. IPC continues to reduce pepper prices in Indonesia, but increases sharply in Brazil.

According to the Import-Export Department (Ministry of Industry and Trade), global pepper supply is supplemented as Indonesia enters a new harvest season, starting in July. However, Brazil, the world's second largest black pepper producer, is facing continuous crop failures due to drought.

According to experts, signs of supply shortage compared to demand will continue to be recorded in the market in the coming time. In addition, rapidly increasing freight costs and port congestion in Asia also affect prices in import markets, and may cause shipping delays, causing prices to increase in the medium and long term.

Meanwhile, commodity markets are betting on the Fed cutting interest rates for the first time in years this month. Investors are expecting the Fed to cut rates by 0.25 percentage points each at its next two meetings in September and November, followed by a larger cut in December — say, 0.5 percentage points.

The Fed’s interest rate cut is expected to stimulate the recovery of the US economy, leading to a recovery in orders and exports from Vietnam to the above market. At that time, the Vietnamese economy will “benefit” from this policy reversal by the Fed.

According to KTĐT.vn

 

 

 

Pepper Market September 1, 2024

 

Pepper Market September 1, 2024: Domestic and world prices increased last week

Posted onSeptember 1, 2024by VPA

01
Sep

Pepper prices today fluctuate at 144,000 - 146,000 VND/kg. Pepper prices have increased by 500 - 2,500 VND/kg over the past week. Pepper prices are expected to remain high in the coming time.

In the domestic market

Pepper prices  continued to increase last week from 500 - 2,500 VND/kg in key localities.

Traders in Dak Lak are buying pepper at the highest price of 146,000 VND/kg, an increase of 2,000 VND/kg over the past week.

Pepper prices   in Ba Ria - Vung Tau and Binh Phuoc were purchased at 145,500 VND/kg, an increase of 2,500 VND/kg.

In Dak Nong and Dong Nai, prices increased by VND1,500/kg to VND145,500/kg and VND144,500/kg.

The lowest transaction price was recorded in Gia Lai, at 144,000, up 500 VND/kg last week.

Province/district (survey area)	Purchase price on August 31 (Unit: VND/kg)	Change compared to August 26 (Unit: VND/kg)
Dak Lak	146,000	+2,000
Gia Lai	144,000	+500
Dak Nong	145,500	+1,500
Ba Ria – Vung Tau	145,500	+2,500
Binh Phuoc	145,500	+2,500
Dong Nai	144,500	+1,500

 Source: Hoang Hiep compiled from giatieu.com

On the world market world

According to data from the International Pepper Community (IPC), Vietnam's black pepper  export  prices  increased by 4.8 - 5.2% last week, to 6,100 - 6,500 USD/ton. Meanwhile, Brazilian and Indonesian black pepper prices also increased by 2.4% and 0.5%, respectively.

Type name	World black pepper price list (Unit: USD/ton)
	August 26	August 31	% change
Lampung Black Pepper (Indonesia)	7,490	7,529	+0.5
Brazilian Black Pepper ASTA 570	6,300	6,450	+2.4
Kuching Black Pepper (Malaysia) ASTA	8,500	8,500	0
Vietnamese black pepper (500 g/l)	5,800	6,100	+5.2
Vietnamese black pepper (500 g/l)	6,200	6,500	+4.8

At the same time of survey, Indonesian Muntok white pepper price increased slightly by 0.9% last week, while Vietnam's export price increased by 3.5%.

Type name	World white pepper price list (Unit: USD/ton)
	August 26	August 31	% change
Muntok White Pepper (Indonesia)	8,818	8,5008,865.	+0.9
ASTA Malaysian White Pepper	10,400	10,400	0
Vietnam white pepper	8,865	8,800	+3.5

According to a recent report from the Import-Export Department  (   Ministry of Industry and Trade), world pepper prices are forecast to remain high in the coming time.

“Brazil is currently the second largest producer and exporter of black pepper in the world after Vietnam, accounting for 17-18% of total global supply.

Therefore, the continuous crop failure in this country will have an impact on the market, expected to push global pepper prices up in the last months of 2024 when pepper supply from other major producing countries such as Vietnam, Malaysia, Indonesia, etc. also decreases," the Import-Export Department commented.

Previously, the Vietnam Pepper and Spice Association (VPSA) also said that climate change (La Nina) is expected to affect Brazilian pepper production in the coming months.

According to some farmers in the Espirito Santos region, the harvest in 2024 could be 25-30% lower due to the heat. Overall, the country in 2024 could be down 20-25% compared to 2023.

In Indonesia, the harvest is expected to take place in August (later than usual from July), but the yield is also not promising.

In Vietnam, pepper output in the last crop year also decreased by 10% compared to the previous year, down to 170,000 tons. This is also the lowest level in the past 5 years.

Assessing the recent price drop in the domestic pepper market, VPSA said that although there is not much stock left in the market, purchasing power from European and American markets has decreased, while the Chinese market has not yet recovered its strong purchasing power.

According to VietnamBiz.vn

Pepper Market August 31, 2024

 

Pepper Market August 31, 2024: Average price increase of 1,000 VND

Posted onAugust 31, 2024by VPA

Aug 31

Pepper prices today, August 31, are around 145,000 - 146,000 VND/kg. The market at the end of August continued to have mixed reactions. Indian pepper prices, both domestic and international, were stable this week. When the Indonesian Rupiah strengthened against the USD, the country's pepper prices increased this week.

At the end of the most recent trading session, the International Pepper Community (IPC) listed the price of Lampung black pepper (Indonesia) at 7,529 USD/ton, down 0.41%; the price of Brazilian black pepper ASTA 570 at 6,450 USD/ton; the price of Kuching black pepper (Malaysia) ASTA at 8,500 USD/ton.

Muntok white pepper price is 8,8651 USD/ton, down 0.41%; Malaysian ASTA white pepper price is at 10,400 USD/ton.

Vietnam black pepper price is traded at 6,100 USD/ton for 500 g/l; 550 g/l at 6,500 USD/ton; white pepper price at 8,800 USD/ton. IPC reduces Indonesian pepper price after 1 day of increase.

The International Pepper Community commented that the pepper market at the end of August continued to have mixed reactions. Domestic and international Indian pepper prices were stable this week. When the Indonesian Rupiah strengthened against the USD, the country's pepper prices increased this week.

The pepper harvest in Vietnam will last from January to the end of April in key growing areas, with output slightly increasing compared to 2023.

There is currently a lot of conflicting information. Some gardeners say that their pepper gardens have not produced any fruit this new pepper season. However, some gardeners say they expect a bumper crop. This is due to weather factors.

According to experts, even if the next pepper crop is slightly better than the last one, it will not be able to make up for the pepper acreage lost in the past and is still being lost. Therefore, it is forecasted that the supply will continue to be in short supply in the future.

According to KTĐT.vn

Pepper market on August 27, 2024

Pepper market on August 27, 2024, highest 144,000 VND/kg

Posted onAugust 27, 2024by VPA

27
Aug

It's a new day in the market,  pepper prices have no new fluctuations.

In the domestic market

According to the survey,  pepper prices  today are flat on a large scale.

Specifically, traders in Dak Lak and Dak Nong continue to buy pepper at a price of 144,000 VND/kg.

Lower at 143,000 VND/kg was recorded in Gia Lai, Ba Ria - Vung Tau, Binh Phuoc and Dong Nai.

Province/district (survey area)	Purchasing price (Unit: VND/kg)	Change compared to yesterday (Unit: VND/kg)
Dak Lak	144,000	–
Gia Lai	143,000	–
Dak Nong	144,000	–
Ba Ria – Vung Tau	143,000	–
Binh Phuoc	143,000	–
Dong Nai	143,000	–

On the world world market

According to updates from the International Pepper Association (IPC) on August 26 (local time), the trading price of Lampung black pepper (Indonesia), the purchasing price of Brazilian black pepper ASTA 570 and the price of Kuching black pepper (Malaysia) ) ASTA remains stable compared to August 25.

Type name	World black pepper price list (Unit: USD/ton)
	August 25	August 26	% change
Lampung black pepper (Indonesia)	7,490	7,490	0
Brazilian black pepper ASTA 570	6,300	6,300	0
Kuching black pepper (Malaysia) ASTA	8,500	8,500	0

At the same time of the survey, the purchasing price of Muntok white pepper and the price of Malaysian ASTA white pepper had no new changes.

Type name	World white pepper price list (Unit: USD/ton)
	August 25	August 26	% change
Muntok white pepper	8,818	8,818	0
ASTA Malaysian white pepper	10,400	10,400	0

Businesses believe that if they put pepper on the trading floor, this item will be easily manipulated by financial funds because the output is still low compared to other products, such as coffee.

The Ministry of Industry and Trade is currently soliciting comments from businesses on the establishment of a Commodity Exchange and pepper will also be one of the traded items, said Ms. Hoang Thi Lien - Chairwoman of the Pepper and Pepper Association. Vietnam Spice Plant (VPSA) said.

This is not a new idea. Previously, the proposal to establish a pepper trading floor was also proposed by the Vietnam Pepper Association (predecessor of VPSA) 8 years ago (May 2016). The association believes that Vietnam's pepper has accounted for over 50% of the world's trade output for many years and the establishment of the trading floor will help the industry have more power to develop the market and dominate global pepper trade. bridge.

VPA added that pepper is an item that can be stored in warehouses for 2-3 years, so farmers know how to keep goods waiting for the right price to sell, something that has never happened with other agricultural products. However, this mentality makes the pepper market unstable. That is also one of the main reasons for VPA to develop the idea of ​​establishing a pepper trading floor, according to  Finance Magazine.

According to VietnamBiz.vn

Pepper market on August 26, 2024

 

Pepper market on August 26, 2024: Price unchanged compared to last weekend

Posted onAugust 26, 2024by VPA

26
Aug

Pepper price today August 26 is in the range of 143,000 - 144,000 VND/kg. Regarding pepper prices this week, experts expect the upward momentum to continue. With a few days left until the National Day holiday, the cumulative buying force is expected to help pepper prices recover to the level at the beginning of August 2024.

Pepper prices at the beginning of this morning remained stable compared to the same time yesterday. Summarizing last week, domestic pepper prices increased by an average of 4,000 - 5,000 VND/kg.

On the world level, the International Pepper Community (IPC) said that the market continued to show mixed reactions last week, when only India and China recorded a decrease.

As of the first half of August 2024, Vietnam's pepper exports reached about 175,000 tons, officially surpassing the 170,000 output mark of this year's harvest.

Meanwhile, the Vietnam Pepper and Spice Association said that the purchasing power of the Chinese market shows no signs of improvement until the end of the year. However, world demand for pepper is increasing and the EU region is still a large consumer market for Vietnamese pepper. In addition, the pepper processing capacity of Vietnamese enterprises is very large, can reach 140,000 tons/year, which is an opportunity to help Vietnam's pepper industry develop in the near future.

Regarding pepper prices this week, experts expect the upward momentum to continue. With a few days left until the National Day holiday, the cumulative buying force is expected to help pepper prices recover to the level at the beginning of August 2024.

According to KTĐT.vn