1/ PEPPER
According
to the Vietnam Customs data, in the first 23 days of October, Vietnam
exported 15,405 tons of pepper and Vietnam exported approximately
240,000 tons of pepper in the first 10 months of 2020. This is a very
impressive figure as the total production of the 2020 crop is predicted
from various sources from 230-250,000 tons. Although Vietnam imports
from other countries such as Indonesia/Brazil/Cambodia around 24.841
tons, the inventory from the old crops 2 to 3 years ago such as 2018
& 2019 has been gradually reduced. We will not be surprised stock
carry forward of this year 2021 are forecasted to plummet and less than
so much carryover 2020.
Covid 19 control has been better in many
countries that speed up many countries to increase production while
inventories almost tight. Therefore, many different countries to
increase their purchase order starting from the 4th quarter to
supplement production in 2021. This has resulted in many spices items
having very impressive price increases such as;
- Pepper; increased by 10% within 1 week from October 16-25
- Cassia/Cinnamon; 10% price increase within 1 day from last week
- Star Anise has achieved a historic increase in 60% within 1 month.
In
addition, an increase in the consumption of convenience foods such as
snacks, soups, sandwiches, and frozen products are expected to a surge
in demand in the global spice market in the coming years.
China import pepper in the third quarter was only 4,131 tons, around 34.9% compare with the first quarter and only 17.0% compare with the second quarter. Total import in 9 months was 40,305 tons of pepper. Therefore, China has started to increase the quantity of purchases for the fourth quarter, which has significantly contributed to the hot rise in pepper prices last time. Otherwise, in the key pepper areas of Vietnam, it is forecasted that output will drop sharply in 2021 due to the heavy effects of climate change such as storms, floods, and limited care from the farmer. That's contributed to stabilizing pepper prices and have less opportunity to decrease the prices in the medium term.
Other highlights last week;
The
Malaysian Pepper Commission (MPB) predicts that the pepper production
in 2020 will decrease by 20% and reached only 30,000 tons. The reason is
due to poor storage of pepper on the farm as well as farmers less take
care for the pepper plantation when pepper prices are low.
Export data first 9 months of 2020;
- Asia imported 50.7% Vietnam pepper and continues to be the largest pepper importer of Vietnam, but decreased 5.0% over the same period. The leading importer is China with an import volume of 40,305 tons, down 25.1% over the same period; India imported 10,760 tons, down 37.9%; Saudi Arabia imported 9,989 tons, up 14.0%; Pakistan imported 8,566 tons, down by 4.0%...
- European imports ranked second, up 1.1%, and roughly for 20.9% of the total export volume of Vietnam Pepper. Leading by Germany imported 8,645 tons, down 5.3%; The Netherlands imported 5,873 tons, down 9.3%; Russia imported 4,606 tons, up 10.2%; The UK imported 4,241 tons, up 20.9%. France imported 3,153 tons, up 41.8%; Poland imported 2,642 tons, up 25.5%...
- The third-largest importer around 20.8% in Latin America and increased by 3.0% over the same period. Of which the United States is the largest pepper import from Vietnam, imported 42,040 tons, up 8.3% over the same period and roughly for 90.9% of the Latin America market share. Canada imported 2,063 tons and increased 0.8% over the same period last year.
-
African imports around 7.7% and increased by 1.0% over the same period
last year. The main is Egypt, which imported 7,627 tons, up 26.5%.
Imports decreased in South Africa and Senegal with a decrease in 15.3%
and 17.2% respectively.
The
3 largest pepper importing countries of Vietnam are the US, China, and
India with the total import volume of 93,105 tons occupying 42% of the
total export volume of Vietnam Pepper.
No | Market | 9 MONTHS 2018 | 9 MONTHS 2019 | 9 MONTHS 2020 | |
1 | ASIA | 52,9% | 55,7% | 50,7% | |
2 | EU | 19,8% | 19,8% | 20,9% | |
3 | Latin America | 19,2% | 17,8% | 20,8% | |
4 | Africa | 8,0% | 6,7% | 7,7% | |
Total | 100% | 100% | 100% | ||
2/ CASSIA
Prices up during the past 2 weeks such as;
- 10% for cassia broken within 1 or 2 days from last week
- 16% for cassia split last 2 weeks
- 9% for cassia cigarette/sticks.
Prices
increased rapidly due to a shortage of supplies from China/Indo… while
Vietnam's crop output was not as expected. Harvesting is also very
difficult due to the heavy rain and storms/tropical depression. Demand
continues to increase from USA/EU/… has made Cassia prices are
forecasted to continue to increase in the near future.
 |
3/ STAR ANISED
Huge
demand from different countries such as USA/EU/China has made the price
of anise rose dramatically with an increase of 50 - 65% in just 1
month. Prices are currently high and there is no chance of a decrease in
the short term.
PLEASE CHECK SOME OF OUR PRICE INDICATIONS CLICK HERE:
https://offers-peppertrade.blogspot.com/2020/10/i-would-like-to-give-you-indication.html
| |
| |
Posts
