Sea freight rates dropped sharply

Posted onAugust 22, 2024by VPA

22
Aug

Information from the Vietnam Maritime Administration shows that global shipping rates are trending down, creating favorable conditions for export businesses.

In particular, in August 2024, transport routes from Asia to the West Coast of the US and Europe recorded the sharpest decrease, ranging from 20 - 30% compared to the previous month.

Compared to the peak period in September 2021, when the global supply chain was seriously disrupted due to the COVID-19 pandemic,  ocean freight rates  have decreased by up to 44%.

Notably, each week freight prices decrease by an average of 3 - 4%, reflecting a stable downward trend in prices and is expected to continue in the near future.

Mr. Nguyen Thanh Tuan,  director of  Blue Sea Commercial Shipping Company (Phu Nhuan District, Ho Chi Minh City), said that although freight rates have cooled down, they are still high compared to before the pandemic.

Specifically, shipping rates from Europe are around 6,000 - 8,000 USD/40-foot container, from Asia to the West Coast of the US range from 5,000 - 6,000 USD/container. The US East Coast route alone remains high, ranging from 9,000 - 10,000 USD/container.

Similarly, Mr. Nguyen Hoai Chung, CEO of Phattaa - Vietnam's international logistics exchange - also said that freight rates from Asia to North America have dropped to 6,356 USD/40-foot container, down 1.52% compared to with the beginning of August and decreased by 19.28% compared to the previous month.

According to Mr. Chung, adding more ships on the trans  -Pacific trade route  has helped reduce space pressure, especially at ports in the southwest Pacific.

Also according to the Vietnam Maritime Administration, shipping rates will continue to decrease in the near future, after congestion at major ports around the world has been completely resolved.

This is a golden opportunity for  export businesses  to take advantage of lower transportation costs to boost business activities, expand markets and seek strong growth in the last months of the year.

Pepper market on August 20, 2024

 

Pepper market on August 20, 2024: Average increase of 1,000 VND

Posted onAugust 20, 2024by VPA

20
Aug

Pepper price today August 20 is in the range of 139,000 - 141,000 VND/kg. Pepper prices early this morning increased by 1,000 - 2,000 VND/kg. The International Pepper Community adjusted pepper prices in Indonesia on the first day of the week. In the past 7 months of 2024, Brazil's pepper exports decreased by 8%.

In Dak Lak province, today's pepper price was purchased at 141,000 VND/kg, an increase of 1,000 VND/kg.

In Dak Nong province, today's pepper price was purchased at 140,000 VND/kg, an increase of 1,000 VND/kg.

In Gia Lai province, pepper price today is at 139,000 VND/kg, an increase of 1,000 VND/kg.

Meanwhile in Dong Nai, pepper price today is at 139.00 VND/kg, an increase of 1,000 VND/kg.

In Ba Ria - Vung Tau province, pepper price today is at 140,000 VND/kg, an increase of 2,000 VND/kg.

In Binh Phuoc province, today's pepper price was purchased at 139,000 VND/kg, an increase of 1,000 VND/kg.

Pepper prices early this morning increased by 1,000 - 2,000 VND/kg compared to the same time yesterday.

At the end of the most recent trading session, the International Pepper Community (IPC) listed Lampung (Indonesia) black pepper price at 7,472 USD/ton, an increase of 0.8%; Brazilian black pepper price ASTA 570 is at 6,175 USD/ton; Kuching (Malaysia) ASTA black pepper price is 8,500 USD/ton.

Muntok white pepper price was 8,798 USD/ton, up 0.8%; Malaysian ASTA white pepper price is at 10,400 USD/ton.

Vietnam black pepper price is trading at 5,800 USD/ton for 500 g/l type; type 550 g/l at 6,200 USD/ton; White pepper price is at 8,500 USD/ton. IPC adjusted to increase pepper prices in Indonesia on the first day of the week.

Commenting on the market last week, IPC said there were mixed reactions.

Specifically, after 2 weeks of recording increases, domestic and export pepper prices of India and Sri Lanka stabilized last week.

In Southeast Asia, only Indonesian black pepper prices continued to increase since last week. Meanwhile, white pepper prices recorded a decrease when most farmers in this country were in the harvest season.

Malaysian domestic pepper prices recorded a decrease last week. Export prices are stable and do not change.

Brazilian black pepper prices continued to decrease over the past 3 weeks. Meanwhile, prices of Cambodian black pepper and Chinese white pepper continued to be stable and unchanged.

Also according to the International Pepper Community, in the past 7 months of 2024, Brazil's pepper exports decreased by 8%, to about 42 thousand tons, equivalent to 165 million USD.

According to KTĐT.vn

Pepper market on August 14, 2024

 

Pepper market on August 14, 2024: Indonesian and Brazilian pepper prices increased along with Vietnam

Posted onAugust 14, 2024by VPA

14
Aug

Pepper price today August 14 is in the range of 139,000 - 140,000 VND/kg. After a sharp decline at the beginning of the week, domestic pepper prices recovered slightly. In localities where the purchasing price is below the threshold of 140,000 VND/kg, purchasing power also decreased compared to last weekend. IPC also increased pepper prices in Indonesia and Brazil.

Pepper prices early this morning increased by 500 - 1,000 VND/kg compared to the same time yesterday. After a sharp decline at the beginning of the week, domestic pepper prices recovered slightly. In localities where the purchasing price is below the threshold of 140,000 VND/kg, purchasing power also decreased compared to last weekend.

The newly released 2024 status report of the Vietnam Pepper and Spice Association said that, according to Decision No. 431/QD-BNN-BNNPTNT of the Ministry of Agriculture and Rural Development dated January 26, 2024 on approving Approve the project to develop key industrial crops until 2030, in which pepper is planned for the whole country: 80,000 - 100,000 hectares, including the Central Highlands: 60,000 - 70,000 hectares; Southeast: 25,000 – 30,000 hectares; Other provinces: 5,000 - 10,000 hectares (Quang Tri, Quang Binh, Binh Thuan, Binh Dinh, Phu Yen, Kien Giang).

In terms of advantages, pepper is an agricultural crop with a long history of development, associated with the lives of many generations of people in the Central Highlands provinces and has become a concentrated commodity production industry, meeting all conditions. exported to the world market.

The provinces have issued policies to encourage the development of agriculture in general and high-tech agriculture in particular to support production development and increase value, including pepper.

Farmers have experience in intensive farming and pepper production, and scientific and technical advances are gradually being applied: organic pepper production, application of economical irrigation technology, reasonable use of fertilizers... gradually. Steps to bring pepper production towards sustainability and environmental friendliness.

Regarding difficulties, the application of technical procedures for planting, care and harvesting, and application of scientific and technical advances to ethnic minority areas is still limited. Breed structure is not yet rich. The ability to invest in farming and access capital is difficult. Agricultural input prices are high.

There is not much replication of the model. Infrastructure is not guaranteed and is outdated. Production also depends too much on nature. In addition, mechanisms, policies and solutions for sustainable pepper development have not been effectively implemented into actual production.

At the end of the most recent trading session, the International Pepper Community (IPC) listed Lampung (Indonesia) black pepper price at 7,334 USD/ton, an increase of 0.49%; Brazilian black pepper price ASTA 570 was at 6,175 USD/ton, up 1.21%; Kuching (Malaysia) ASTA black pepper price is 8,500 USD/ton.

Muntok white pepper price was 8,635 USD/ton, up 0.5%; Malaysian ASTA white pepper price is at 10,400 USD/ton.

Vietnam black pepper price is trading at 5,800 USD/ton for 500 g/l type; type 550 g/l at 6,200 USD/ton; White pepper price is at 8,500 USD/ton. IPC increased pepper prices in Indonesia and Brazil.

According to KTĐT.vn

Pepper market on August 12, 2024

 

Pepper market on August 12, 2024: Prices dropped sharply at the beginning of the week

Posted onAugust 12, 2024by VPA

12
Aug

Pepper price today August 12 is in the range of 137,000-138,000 VND/kg, a sharp decrease of 3,000-4,000 VND compared to last weekend.

The average export price of black pepper in 7 months reached 4,568 USD/ton, white pepper reached 6,195 USD/ton, up 32.7% for black pepper and 25% for white pepper respectively compared to the same period last year.

The US is Vietnam's largest pepper export market in 7 months, increasing by 48.4% and accounting for 26.4% of the market share reaching 43,349 tons. Next are the markets: Germany: 10,941 tons, up 97.3%; UAE: 10,897 tons, up 39.2%; India: 8,744 tons, up 39.7%; China ranked fourth with 8,059 tons, down 84.6% over the same period.

Regarding the Chinese market, experts say that it is possible that due to the strong increase in purchases last year and full warehouses, demand in the Chinese market will decrease this year, adding that the economy in China is still difficult. .

Regarding the upward momentum, experts added that for prices to increase, there must be a push from the market and there must be demand. The US and Europe account for nearly 50% of Vietnam's exports and have bought very strongly in the first 6 months of the year. In the last months of the year, if these two markets do not buy much, it may be difficult for prices to increase strongly again as before. This week's market is forecast to recover after falling sharply last week.

Indonesia and Brazil will enter the season, followed by Vietnam. Supply will increase rapidly in the last months of the year. Although it is forecast that in some places the output will not be as high as estimated, or the world supply is still not enough to meet demand, overall pepper prices in the medium term are unlikely to increase strongly.

Last weekend, the International Pepper Community (IPC) listed the price of Lampung black pepper (Indonesia) at 7,320 USD/ton, an increase of 0.23%; Brazilian black pepper price ASTA 570 was at 6,100 USD/ton, down 4.92%; Kuching (Malaysia) ASTA black pepper price is 8,500 USD/ton.

Muntok white pepper price was 8,970 USD/ton, up 0.25%; Malaysian ASTA white pepper price is at 10,400 USD/ton.

Vietnam black pepper price is trading at 5,800 USD/ton for 500 g/l type; type 550 g/l at 6,200 USD/ton; White pepper price is at 8,500 USD/ton. IPC continues to increase pepper prices in Indonesia and decrease sharply in Brazil.

According to KTĐT.vn

Pepper market update 12th August 2024 – Week 32.

 

          •        Last week, the pepper price experienced fluctuations with a range of +/- $200/MT in a single day. After a decline, the pepper price quickly rebounded, with a large volume of transactions recorded in the market.

          •        Demand in various markets has improved, especially in the U.S. and the European Union. China has also started to resume purchases.

          •        By the end of the week, the pepper price decreased from 148,000 VND to 146,000 VND, corresponding to a reduction of 1.3%.

In July 2024, Vietnam exported 21,771 tons of pepper, black pepper reached 19,371 tons, white pepper reached 2,400 tons. Total export turnover reached 129.9 million USD, black pepper reached 112.2 million USD, white pepper reached 17.7 million USD, compared to June, export volume decreased by 22.7%, turnover decreased by 7.9% and compared to the same period in July 2023, export volume increased by 43.7% and turnover increased by 128.9%. The average export price of black pepper in July reached 5,861 USD/ton, white pepper reached 7,558 USD/ton, an increase of 15.7% for black pepper and 9.2% for white pepper compared to the previous month.

The United States is still Vietnam's largest export market in the month, accounting for 27.2% reached 5,914 tons, followed by markets: UAE: 2,509 tons, Germany: 1,415 tons, Netherlands: 940 tons, France: 936 tons. Exports to China only reached 606 tons, down 76.5% compared to June.

 

 

 

Pepper will be very difficult to enter the EU from 2025, why ?

 

Coffee, pepper and rice... will be very difficult to enter the EU from 2025, why?

Posted onAugust 10, 2024by VPA

10
Aug

Coffee, pepper and many key Vietnamese agricultural products exported to the European Union (EU) are forecast to face many difficulties in 2025 when the region strengthens food safety monitoring measures.

Many products including durian, bananas, mangoes, vegetables such as onions, garlic, chili and even products including rice, tea, coffee and products of animal origin are also subject to new regulations. strengthening animal and plant quarantine (SPS) measures for food imported into this area. There are 2 newly established active ingredients and 2 old active ingredients with commonly adjusted concentrations hundreds of times lower than current regulations. This will make Vietnam's agricultural product exports to the EU much more difficult.

The Vietnam SPS Office (Ministry of Agriculture and Rural Development) said that the World Trade Organization (WTO) SPS Committee Secretariat recently sent to EU members for comments regarding the EU's proposal. maximum residue levels (MRL) for some active ingredients. The comment period for these proposals is in August 2024 and is expected to be applied in February 2025.

Accordingly, with the active ingredient Zoxamide, Vietnam is having okra products exported to the EU that are subject to control measures at the border gate. The maximum residue level under the old regulations was 0.02ppm, but the new draft only allows 0.01ppm. Most notable are vegetables such as: Lettuce, lettuce, spinach, the old concentration is 30ppm, the new draft is only 0.01ppm.

Notably, for Vietnam, coffee and tea are products with great export value, the concentration according to regulations of 0.05ppm is currently only 0.01ppm.

With the active ingredient Acetamiprid, banana products according to the old regulations had a concentration of 0.4ppm, the new regulation is 0.01ppm; Bell peppers and sweet peppers from 0.3 now only 0.09ppm, tomatoes from 0.5ppm to 0.06...

In addition, the EU also applies control to two new active ingredients: Fenbuconazole and Penconazole. Among these, for Vietnam, citrus fruits and nuts such as cashews, macadamia nuts... concentrations are regulated at a very low level of only 0.01ppm. Okra is also a product that continues to be controlled with these two substances and the concentration is only 0.01ppm. With these two active ingredients, important Vietnamese products will be applied such as rice at a concentration of 0.01ppm; coffee, spices and honey at the same level of 0.05ppm.

Dr. Ngo Xuan Nam, Deputy Director of the Vietnam SPS Office, advised: The EU plans to apply these regulations from February 2025. Thus, manufacturers have 6 months to prepare appropriate adjustments. If we capture information promptly, proactively adjust and control the residue levels of the above 4 active ingredients, we are confident that we will meet EU regulations.

According to Thanh Nien

Ministry of Industry and Trade: Vietnam pepper market will benefit in pr...

 

Ministry of Industry and Trade: Vietnam pepper market will benefit in price because of scarce supply

Posted onAugust 8, 2024by VPA

08
Aug

The Import-Export Department (Ministry of Industry and Trade) stated that the scarce supply could help the Vietnamese pepper market benefit in price. This can also open up opportunities for Vietnam to increase market share, further strengthening its position in key markets such as the US, China and Europe.

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

According to some farmers in the Espirito Santos region (Brazil), the harvest in 2024 may be 25-30% lower due to the heat causing most of the first cotton to fall and the ratio of fruit set to cotton to decrease. Phase 2 and phase 3 are quite low so it is expected to only reach about 70% compared to last year. Overall, the whole country in 2024 could decrease by 20-25% compared to 2023.

According to experts, signs of supply shortage compared to demand will continue to be recorded in the market in the near future. In addition, rapidly rising  freight  costs  and port congestion in Asia also impact prices in import markets, and can cause shipping delays, causing prices to increase in the medium to long term. term.

The Pepper and Spice Association (VPSA) said data showed that by the end of July, Vietnam had  exported   an estimated 164,300 tons, with a turnover of 652 million USD, down 2.2% in volume but up 41%. % in value compared to the same period in 2023. The association estimates that Vietnam's pepper output in 2024 will only reach about 170,000 tons, down 10% compared to the previous year, this is also the lowest level in the last 5 years.

 Source: VPSA (compiled by US)

Meanwhile, there are still about 6 months left until the new harvest (expected after the Lunar New Year from February 2025) while the amount of goods remaining with people, agents and businesses is not as much as VPSA previously assessed. This.

Mr. Le Duc Huy - General Director of 2/9 Dak Lak Import-Export Company Limited - Simexco said that Vietnam's inventory is about 30%, equivalent to 50,000 - 55,000 tons.

The Import-Export Department said that Vietnam's pepper industry will enjoy price benefits in the near future due to scarce supply. This can also open up opportunities for Vietnam to increase market share, further strengthening its position in key markets such as the US, China and Europe.

According to VPSA, the lack of supply will cause  pepper prices   in the near future to continue to have unusual fluctuations like on June 11 when the price increased sharply by 20,000 VND/kg in the morning but dropped sharply in the afternoon. return.

However, Mr. Huy said that in the first half of this year, Vietnam's traditional purchasing markets imported large amounts of pepper. This means that they are not in a hurry to buy more goods and are waiting.

Therefore, this person believes that although the supply shortage continues, pepper prices will hardly increase as strongly as at the beginning of the year.

“It is likely that pepper prices will remain at this level in the near future. Farmers still expect prices to increase dramatically again, but personally, in my opinion, this is very difficult," Mr. Huy said.

According to VietnamBiz.vn