In the first 7 months of 2023, pepper exports to China increased by 665% compared to the same period in 2022.

In June 2023, the United States rose to become the largest export market for Vietnamese pepper. It is expected that by the end of August 2023, Vietnam will be able to export all of its 2023 pepper output.

According to the Vietnam Pepper Association (VPA), in July 2023, Vietnam exported 15,152 tons of pepper of all kinds, of which black pepper reached 12,841 tons and white pepper reached 2,311 tons. Total export turnover reached 58.6 million USD, black pepper reached 45.0 million USD, white pepper reached 11.8 million USD, compared to the previous month, export volume decreased by 28.6% and turnover decreased by 26.3%.

The average export price of black pepper in July reached 3,683 USD/ton, white pepper reached 5,207 USD/ton, down 0.3% for black pepper and down 1.1% for white pepper compared to June 2023.

Olam, Nedspipce and Tran Chau were the three largest exporters in July, reaching 1,722 tons, 1,142 tons and 1,140 tons respectively.

The United States continued to be Vietnam's largest pepper export market in July, reaching 3,319 tons, but down 30.9% compared to the previous month. Exports to China also fell sharply by 53.4%, reaching 1,958 tons.

Cumulatively from the beginning of the year to the end of July 2023, Vietnam exported 168,138 tons of pepper of all kinds, of which black pepper reached 151,218 tons and white pepper reached 16,920 tons. Total export turnover reached 542.7 million USD, black pepper reached 463.0 million USD, white pepper reached 79.7 million USD.

Compared to the same period last year, export volume increased by 16.6% equivalent to 23,962 tons, however export turnover decreased by 16.2% equivalent to 104.7 million USD.

The average export price of black pepper in the first 7 months of 2023 reached 3,505 USD/ton, white pepper reached 5,040 USD/ton.

Although exports to the Chinese market have decreased in the past 2 months, on average for the whole 7 months, China is still Vietnam's main export market, reaching 52,327 tons, accounting for 31.1% of the export market share and increasing by 665% over the same period in 2022.

Next is the United States with 29,213 tons, accounting for 17.4% and decreasing by 11.1%. Exports to some other traditional markets also decreased such as: UAE decreased by 34.9%; India decreased by 37.9%; Germany decreased by 21.5%; Netherlands decreased by 13.3%...

Only a few markets recorded positive export volumes such as Türkiye up 81.4%; France up 36.4%; Philippines up 25.0% and Iran up 27.9%….

The main white pepper export markets include: the United States; China; Germany; the Netherlands and Thailand. The leading white pepper exporters include: Nedspice; Olam; Tran Chau; Lien Thanh and Phuc Sinh.

According to the World Bank (WB), the world's leading economies such as the United States, Europe and China have positive prospects by the end of the year. This will have a positive impact on the purchasing power of goods, including pepper and spices.

In addition, in the general trend of concern about the possibility of a global food shortage, India has imposed restrictions on rice exports, and Russia has announced its withdrawal from the Black Sea agreement, which is also a signal of support for the agricultural market in general and the world's spices in particular.

The global pepper market is forecast to increase due to reduced supply and increased demand. Currently, pepper supply in Vietnam is not much. In Indonesia, pepper output in 2022 decreased by 22% compared to 2021, and is expected to continue to decrease by 15% in 2023.

In India, unfavorable weather conditions in the country's main production areas have caused output to drop by 30-32%, while domestic pepper demand has increased dramatically as the festival season approaches.

In Brazil, the 2023 pepper crop is forecast to decrease by about 10-15% compared to the 2022 crop. Therefore, pepper purchasing is difficult as people tend to hoard more goods. Meanwhile, transportation and export at the port of Vitoria in Brazil are facing difficulties.

According to the Vietnam Pepper Association, Vietnam's 2023 pepper harvest has basically ended, with an estimated output of nearly 200,000 tons, an increase of 9.3% over the 2022 crop.

However, the domestic pepper supply is currently only available in a few warehouses and speculators with the total expected output will not be enough for export in the last months of the year if the average monthly export is 15 - 20 thousand tons. This will have a positive impact on the price of black pepper in the domestic market.

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