Can the upward trend in pepper prices be maintained in 2025?
Declining production is expected to be the main driver for pepper prices in 2025.
Pepper prices increase for second consecutive year
In 2024, the pepper market recorded the second consecutive year of strong growth in price and export
turnover . Accordingly, domestic pepper prices at the end of this year
nearly doubled compared to the beginning of the year to 140,000 VND/kg.
Source: Giatieu.com (H.My compiled)
Regarding
consumption, Vietnam exported 250,600 tons of pepper of all kinds,
earning 1.3 billion USD, down 5.1% in volume but up 45.4% in value
compared to the previous year. The main reason is that the average
export price of black pepper in 2024 reached 5,154 USD/ton, up 49.7% and
white pepper reached 6,884 USD/ton, up 38.9% compared to last year.
Declining manufacturing activity has contributed to pushing up domestic and export prices in recent times.
Source: General Department of Customs (compiled by H.Mị)
According
to the Vietnam Pepper and Spice Association (VPSA), unfavorable weather
conditions have negatively affected pepper production. In Dak Nong, the
capital of Vietnam’s pepper, output was recorded at the same level as
last year.
In
addition, the trend of crop conversion is also affecting output.
Typically, in Dak Lak province, the province with the second largest
pepper area and output in the country, it is assessed that it has
decreased as people switch to growing durian and there is not much new
planting.
It is expected that farmers will start harvesting pepper after Tet and it will last until the end of April.
Talking
to us at the VPSA summary conference held on January 16, Mr. Thai Nhu
Hiep - Chairman of the Board of Directors and Director of Vinh Hiep
Company Limited, said that in recent years, the Central Highlands region
has had plants that have brought good economic efficiency, including
coffee, durian, etc. As for pepper, although it also brings very high
values, the cost of land improvement is very high, and this work is very
difficult and risky. Therefore, the pepper growing area in Vietnam is
increasingly narrowing.
Major pepper growing countries such as Indonesia and Brazil also recognize that growing coffee
is more efficient and profitable. At the same time, coffee consumption
is increasing while supply is decreasing. As for pepper, consumer
demand has not increased, and price increases sometimes come from
speculation and resale between traders.
“When prices are high, people can abstain from pepper but cannot abstain from drinking coffee,” said Mr. Hiep.
Supply is decreasing, supporting pepper prices
The
Chairman of Vinh Hiep Company believes that the trend of increasing
export value but decreasing export volume will continue in 2025 when the
world's inventory is not much left. Meanwhile, in Vietnam, goods are
mainly in the hands of speculators. They have been buying since the
price was around 110,000 VND/kg. These people use money from taking
profits from other agricultural products that have just experienced a
hot period such as coffee, durian, ... to buy pepper.
“Speculators
think that pepper prices could reach VND200,000/kg in 2025-2026. We
cannot judge whether that view is right or wrong, but we can clearly see
that output is gradually decreasing,” said Mr. Hiep.
According
to VPSA's forecast, global pepper output in 2025 will continue to
decrease compared to 2024, marking the fourth consecutive year of
decline since 2022. This reflects the fact that pepper is no longer the
main crop of many farmers, especially in the context of the significant
increase in economic value of other crops such as durian, coffee and oil
palm. In addition, climate change with extreme weather events has
reduced productivity and increased the cost of maintaining pepper
production.
“Global
pepper prices in 2025 are expected to remain high due to reduced
supply, while demand in major markets such as the US and Europe remains
stable. Demand for pepper in the food and spice processing industries
remains the main driver of the market,” VPSA said.
Regarding
export activities, Mr. Hiep said that currently, businesses have also
learned from the previous crop year when they only sign export contracts
when they are sure they have purchased the goods.
“In
the previous crop year, many businesses “short-sold” pepper, meaning
they signed sales contracts and then purchased pepper from farmers.
However, last year, farmers’ economic life improved a lot, so the
pressure to sell pepper to make ends meet was not great. This put
businesses at great risk when it was difficult to buy goods to deliver
to importing businesses ,” Mr. Hiep shared.
Pepper Market March 21, 2025: Prices continue to stand firm
Pepper prices today
(March 21) are trading at 160,000 - 161,000 VND/kg, unchanged from
yesterday. In the world market, pepper prices in Brazil and Indonesia
also increased simultaneously.
In the world market
At
the end of the most recent trading session, the International Pepper
Community (IPC) listed the price of Indonesian Lampung black pepper at
7,276 USD/ton, up 0.29% (21 USD/ton) compared to the previous trading
session.
Brazil's ASTA 570 black pepper price also increased by 1.43% (100 USD/bag), to 7,000 USD/ton.
Meanwhile, Vietnam's pepper export price remained stable at 7,100 USD/ton for 500 g/l and 7,300 USD/ton for 550 g/l.
Kuching Malaysia black pepper prices also remained unchanged at $9,800/ton, the highest in the market.
Type name
World black pepper price list
March 21 (Unit: USD/ton)
% change from previous day
Lampung Black Pepper (Indonesia)
7,276
+0.29
Brazilian Black Pepper ASTA 570
7,000
+1.43
Kuching Black Pepper (Malaysia) ASTA
9,800
–
Vietnamese black pepper (500 g/l)
7,100
–
Vietnamese black pepper (500 g/l)
7,300
–
At
the same time of survey, the price of Indonesian Muntok white pepper
increased by 0.28% compared to the previous trading session, to 10,219
USD/ton.
Vietnam
white pepper today continues to be quoted at 10,100 USD/ton; while
Malaysian ASTA white pepper price stands higher at 12,300 USD/ton.
Type name
World white pepper price list
March 21 (Unit: USD/ton)
% change from previous day
Muntok Indonesian White Pepper
10,219
+0.28
ASTA Malaysian White Pepper
12,300
–
Vietnam white pepper
10,100
–
Update pepper information
In
Dak Lak, organic pepper production is being applied by people in Cu
Kuin district. The use of biological products and microbial fertilizers
in the cultivation process not only helps farmers save costs but also
maintains productivity, contributing to environmental protection,
according to Dak Lak Newspaper.
After
the ups and downs due to erratic price fluctuations, Mr. Vu Dinh Khoi's
family (village 6, Ea Bhok commune) still perseveres thanks to
sustainable organic pepper farming.
Mr.
Khoi shared that when pepper prices continuously reached “peaks”, his
family and many other households massively expanded the area for new
planting, abusing chemical fertilizers, pesticides, stimulants, etc. to
increase productivity. However, this abuse created a favorable
environment for diseases and harmful fungi to attack crops, especially
quick and slow death diseases, causing heavy economic losses.
To
overcome this situation, Mr. Khoi researched, learned and decided to
switch to organic farming. With the process of "washing" the garden at
the beginning of the season, preventing plant diseases, and using
probiotics throughout the production process, his family's 1.2-hectare
pepper garden not only achieved higher productivity but also limited
pests and diseases. In addition to using probiotics, his family also
focused on fertilizing with composted manure and cow manure, helping to
reduce pests and create conditions for pepper plants to grow more
sustainably.
Similarly,
biofertilizers are gradually becoming the top choice, replacing
pesticides in the pepper garden of Mr. Vu Kim Thinh’s family (Kim Chau
village, Dray Bhăng commune). In particular, this farming method not
only protects the health of farmers but also ensures that the products
reaching consumers are always safe.
Taking
care of pepper with microbial fertilizers and biological products helps
Mr. Nguyen Van Luong's family garden (village 23, Ea Ning commune)
always have stable productivity.
Mr.
Ngo Minh Dung, Chairman of the Ea Ning Commune Farmers' Association,
said that since the implementation of the landscape pepper model
program, people in the commune have noticed a clear difference in the
cultivation process. Households participating in the model not only
increased pepper productivity and quality, but also reduced pests and
diseases and protected the environment. Thanks to that, people have
reduced production costs, especially limiting the abuse of chemical
fertilizers and pesticides. The obvious benefits from the model have
encouraged many households to participate. To date, the whole commune
has had 328 households participating in the landscape pepper model, with
a total area of nearly 361 hectares.
Pepper Market March 18, 2025: Price increases slightly again
Pepper price today (March 18) is traded at 160,000 - 161,000 VND/kg, an increase of 1,000 VND compared to yesterday.
In the world market
At
the end of the most recent trading session, the International Pepper
Community (IPC) listed the price of Indonesian Lampung black pepper at
7,321 USD/ton, up 0.76% compared to the previous trading session.
Meanwhile,
pepper prices in other countries remained generally stable. Kuching
black pepper prices in Malaysia were the highest at $9,800/ton;
Brazilian ASTA 570 black pepper was the lowest at $6,900/ton.
Vietnam's pepper export price continues to be stable at 7,000 USD/ton for 500 g/l and 7,200 USD/ton for 550 g/l.
Type name
World black pepper price list
March 18 (Unit: USD/ton)
% change from previous day
Lampung Black Pepper (Indonesia)
7,321
+0.76
Brazilian Black Pepper ASTA 570
6,900
–
Kuching Black Pepper (Malaysia) ASTA
9,800
–
Vietnamese black pepper (500 g/l)
7,000
–
Vietnamese black pepper (500 g/l)
7,200
–
At
the same time of survey, the price of Indonesian Muntok white pepper
increased by 0.3% compared to the previous trading session, to 10,283
USD/ton.
However, the price of ASTA white pepper from Malaysia and Vietnam remained unchanged at USD 12,300/ton and USD 10,000/ton.
Type name
World white pepper price list
March 18 (Unit: USD/ton)
% change from previous day
Muntok Indonesian White Pepper
10,283
+0.30
ASTA Malaysian White Pepper
12,300
–
Vietnam white pepper
10,000
–
Update pepper information
According to Thehindubusinessline
, India's pepper output in 2024-25 is expected to decline due to
shrinking cultivation area and adverse weather affecting production.
According
to the first preliminary estimate of the Government of this country,
pepper output may decrease by 38%, reaching only 78,000 tons compared to
126,000 tons last year. At the same time, the pepper growing area is
estimated to decrease to 255,000 hectares compared to 313,000 hectares
last year.
Kishore
Shamji, director of the Indian Pepper and Spices Trade Association,
estimated pepper production this year at around 75,000 tonnes due to the
impact of climate change on agricultural production. He also said that
the Ministry of Agriculture and the Spices Board had reported a residual
stock of 50,000 tonnes from last year, taking the total available in
the domestic market to 125,000 tonnes.
Pepper
prices in the domestic market in India have crossed the Rs 700/kg mark
in major producing states like Karnataka and Kerala.
At
Kochi market, pepper prices have increased marginally in recent days,
hovering at Rs 685/kg for ungraded pepper and Rs 705/kg for graded
pepper.
Mr.
Shamji said that the increase in pepper prices was partly due to the
Indian Ministry of Finance approving a value-added tax (GST) exemption
for pepper producers and farmers if their products are transported
between states to consumer markets in northern India.
The
policy was introduced after a Karnataka MP submitted a petition to
Finance Minister Nirmala Sitharaman on behalf of the pepper growers'
community.
As
a result, pepper prices in Karnataka have shot up to Rs 725 per kg,
leading to an increase in pepper prices in Kerala. Farmers in Tamil Nadu
and Andhra Pradesh are also looking to benefit from the GST exemption.
Mr. Shamji predicts that pepper prices may continue to increase if demand remains strong after the Holi festival.
Pepper Market on March 17, 2025: Stable at the beginning of the week, highest at 159,000 VND/kg
At the beginning of the new week, pepper prices today
(March 17) were traded at 158,000 - 159,000 VND/kg. Although Vietnam's
pepper exports in February to markets fluctuated in volume, the export
value still increased to most markets due to high prices.
Update pepper price
In the domestic market
Pepper prices today continue to be traded at 158,000 - 169,000 VND/kg, unchanged from the previous day.
Specifically, pepper prices in Dak Lak and Dak Nong provinces were purchased at the highest level of 159,000 VND/kg.
In
other localities such as Gia Lai, Ba Ria - Vung Tau, Binh Phuoc and
Dong Nai, pepper prices are also traded at 158,000 VND/kg.
Province/district
(survey area)
Purchase price on March 17
(Unit: VND/kg)
Change from previous day (Unit: VND/kg)
Dak Lak
159,000
–
Gia Lai
158,000
–
Dak Nong
159,000
–
Ba Ria – Vung Tau
158,000
–
Binh Phuoc
158,000
–
Dong Nai
158,000
–
In the world market
In
the world market, the International Pepper Community (IPC) is listing
the price of Kuching black pepper from Malaysia at 9,800 USD/ton;
Lampung black pepper from Indonesia at 7,265 USD/ton and ASTA 570 black
pepper from Brazil at 6,900 USD/ton.
Vietnam's pepper export price also remained stable at 7,000 USD/ton for 500 g/l and 7,200 USD/ton for 550 g/l.
Type name
World black pepper price list
March 17 (Unit: USD/ton)
% change from previous day
Lampung Black Pepper (Indonesia)
7,265
–
Brazilian Black Pepper ASTA 570
6,900
–
Kuching Black Pepper (Malaysia) ASTA
9,800
–
Vietnamese black pepper (500 g/l)
7,000
–
Vietnamese black pepper (500 g/l)
7,200
–
At
the same time of survey, the price of Indonesian Muntok white pepper
stood at 10,252 USD/ton; Malaysian and Vietnamese ASTA white pepper
reached 12,300 USD/ton and 10,000 USD/ton, respectively.
Type name
World white pepper price list
March 17 (Unit: USD/ton)
% change from previous day
Muntok Indonesian White Pepper
10,252
–
ASTA Malaysian White Pepper
12,300
–
Vietnam white pepper
10,000
–
Update pepper information
The Import -Export Department (Ministry
of Industry and Trade) commented that in the coming time, with the
world pepper supply expected to increase, while demand is weak, it may
cause pressure to reduce prices.
According
to data from the Customs Department, Vietnam's pepper exports in
February reached 14.3 thousand tons, worth 97.2 million USD, up 10.7% in
volume and 11% in value compared to January 2025; up 7.2% in volume and
79.1% in value compared to February 2024.
In
the first two months of 2025, Vietnam's pepper exports reached 27.2
thousand tons, worth 184.4 million USD, down 11.6% in volume but up
48.5% in value over the same period in 2024.
In
February, the average export price of Vietnam's pepper reached 6,774
USD/ton, up 0.3% compared to January 2025 and up 67.1% compared to
February 2024. In the first two months of 2025, the average export price
of Vietnam's pepper reached 6,763 USD/ton, up 68% over the same period
in 2024.
Regarding
export markets in February, Vietnam's pepper exports to key markets
fluctuated in contrast to the same period last year, of which exports to
the largest market, the US, decreased by 21.5% in volume but increased
by 40.5% in value.
On
the contrary, exports to the German market increased by 73.6% in volume
and 166.6% in value. In addition, pepper exports to a number of other
markets increased such as: Korea, UK, Thailand, Philippines...
Although
Vietnam's pepper exports in February to markets fluctuated in volume,
export value still increased to most markets due to high prices.
In
general, in the first two months of the year, Vietnam's pepper exports
to many markets decreased in volume compared to the same period in 2024,
of which, exports to the US market decreased by 32.5%; India decreased
by 21.9%; the Netherlands decreased by 40.4%... On the contrary, the
amount of pepper exported to some markets increased such as: Germany,
Korea, UK...
Pepper price today March 14, 2025 maintains the increase
Báo Công thương•13/03/2025
Pepper
price today March 14, 2025, online pepper price, Dak Lak pepper price,
Dak Nong pepper price, Binh Phuoc pepper price, Gia Lai pepper price,
pepper price March 14.
Domestic pepper prices today continue to increase.
Today's pepper price was updated at 4:30 a.m. on March 14, 2025 as
follows: Domestic pepper prices maintained an increase compared to
yesterday, an increase of 500 - 1,000 VND/kg. Currently, the average
pepper purchase price in key areas is 160,200 VND/kg.
Specifically, today's pepper price in Gia Lai province continued to
increase by 500 VND/kg compared to yesterday, currently the pepper
purchase price in this locality is at 159,000 VND/kg.
Similarly, pepper prices in Ba Ria - Vung Tau increased by 1,000 VND/kg
compared to yesterday's trading session, currently pepper prices are
purchased by traders at 160,000 VND/kg.
Pepper price in Binh Phuoc province increased by 1,000 VND compared to
the previous trading session, currently pepper price is purchased at
160,000 VND/kg.
Pepper price in Dak
Lak province continues to increase by 500 VND/kg, currently pepper price
in this locality is at 161,000 VND/kg.
Pepper prices in Dak Nong province increased steadily, unchanged
compared to yesterday. Currently, the local pepper purchase price is
161,000 VND/kg.
Domestic pepper prices updated on the morning of March 14, 2025
Analysts say that unlike previous years, pepper hoarding is more common
this year, making raw materials scarce even during the peak harvest
season.
According to the Vietnam
Pepper and Spice Association (VPSA), pepper prices are increasing
compared to previous years, bringing benefits to growers. It is
forecasted that the demand for pepper in the world will remain high,
helping pepper prices maintain their upward momentum in the coming time.
According to a recent report by Ptexim, although demand from markets
remains sluggish, farmers and dealers are still holding onto their
stocks instead of selling. The hoarding of pepper in anticipation of
higher prices has led to a situation where pepper prices at the farm
gate are sometimes higher than raw material prices at exporting
producers. The current situation will make business more difficult if
farmers continue to limit the sale of raw materials to the market.
Farmers in Dak Nong province harvest pepper
In Vietnam, although pepper prices have increased, they are still not
attractive enough for farmers to expand their planting areas. The main
reason is that other crops such as durian bring higher profits, making
people less interested in expanding pepper cultivation.
Vietnam's pepper output is on a downward trend, from 192,000 tons in
2023 to 183,000 tons in 2024 and is expected to continue to decrease to
178,000 tons in 2025. In the context of domestic and global inventories
nearing rock bottom, experts predict that pepper prices will continue to
remain high. The US and China are still the two main consumption
markets that Vietnam is focusing on exploiting.
Lush green pepper gardens are grown in Dak Nong province.
World pepper prices today are stable, slightly increasing.
Update on world pepper prices from the International Pepper Community
(IPC) at 4:30 a.m. on March 14, 2025 as follows: the market remains
stable and sideways, however, only pepper prices in Indonesia increased
slightly.
Specifically, IPC listed
the price of Indonesian Lampung black pepper at 7,254 USD/ton; Muntok
white pepper is currently purchased at 10,252 USD/ton (up 15 USD/ton).
The Malaysian pepper market remained stable compared to the most recent
trading session. Currently, the price of Malaysian ASTA black pepper is
purchased at 9,800 USD/ton and the price of ASTA white pepper is at
12,300 USD/ton.
Pepper prices in
Brazil have fluctuated little and are currently anchored at a fairly
high level, with the current purchase price reaching 6,900 USD/ton.
Vietnam's pepper export market is stable and slightly decreasing.
Specifically, the export price of Vietnam's black pepper is currently at
7,000 USD/ton for 500 g/l; 550 g/l is at 7,200 USD/ton and the price of
white pepper is at 10,000 USD/ton.
Update world pepper prices on the morning of March 14, 2025
According to data from Vietnam Customs, Vietnam's pepper exports in
February reached 14,345 tons, worth 97.2 million USD, up 10.7% in volume
and 11% in value compared to the previous month, and up 7.2% in volume
and 79.1% in value compared to the same period last year.
Please note below price idea update for green coffee from Brazil today. Send your bid for a firm offer.
Coffee
Mersin
Jebel Ali
Alex/Dam
Jeddah
Ashdod
Aqaba
Rio Minas 17/18
7307
7330
7335
7330
7319
7330
Rio Minas 15/16
7067
7090
7095
7090
7079
7090
Rio Minas 14/16
7027
7050
7055
7050
7039
7050
Fine Cup 17/18
9207
9230
9235
9230
9219
9230
Good Cup 17/18
9147
9170
9175
9170
9159
9170
Good Cup 14/16
8927
8950
8955
8950
8939
8950
Conillon 16 up
6907
6930
6935
6930
6919
6930
Conillon 13 up
6807
6830
6835
6830
6819
6830
*Prices are subject to change and to final confirmation.
*Prices are in USD and per metric ton.
*Prices are CFR above mentioned destinations. For FOB prices please consult us.
*For other destinations, please consult us.
Looking for forward to hear your comments or for your bid.
Best Regards,
Felipe A. Tamegao L. Barros
General Director
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Báo Công thương•13/03/2025
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