Simultaneously plummeting, Dak Nong drops to 152,000 VND/kg

Domestic pepper price today

Pepper price today, July 3, 2024, in the Southeast region decreased from 2,000 - 5,000 VND/kg in some localities, trading around 154,000 VND/kg, the highest purchase price in Ba Ria - Vung Tau and Binh Phuoc provinces is 155,000 VND/kg.

Accordingly, Dak Lak pepper price is purchased at 154,000 VND/kg, a decrease of 3,000 VND/kg compared to yesterday's price. Chu Se pepper price (Gia Lai) is currently at 154,000 VND/kg, a decrease of 2,000 VND/kg compared to yesterday. Dak Nong pepper price today is recorded at 152,000 VND/kg, a decrease of 5,000 VND/kg.

Giá tiêu hôm nay 3/7/2024: Đồng loạt lao dốc, Đắk Nông tụt xuống 152.000 đồng/kg

Pepper price today July 3, 2024: All plummeted, Dak Nong dropped to 152,000 VND/kg

In the Southeast region, pepper prices today decreased by 2,000 VND/kg. Specifically, in Ba Ria - Vung Tau, it decreased by 2,000 VND to 155,000 VND/kg; in Binh Phuoc, it decreased by 2,000 VND/kg, pepper prices were at 155,000 VND/kg.

Domestic pepper prices today decreased by 2,000 - 5,000 VND/kg, trading at 155,000 VND/kg. Thus, domestic pepper prices today decreased sharply in some key localities compared to yesterday. In all localities, pepper prices are at 152,000 VND/kg. The highest pepper price was recorded at 155,000 VND/kg.

Since the beginning of the year, the price of Vietnamese pepper has been on a strong upward trend, especially in the first half of June. The price increased sharply when it peaked at 180,000 VND/kg on June 12. Many people expected that pepper would return to its golden age.

However, after reaching the peak, pepper prices have decreased and changed continuously, fluctuating around 140,000 - 160,000 VND/kg, but are still considered a record high in the past 8 years. The high pepper prices make people very excited and more secure to take care of their pepper gardens.

According to many farmers in pepper growing areas, although prices have increased, growers have not benefited much because most of the old pepper gardens have been replaced by durian and some other crops with higher economic value. On the other hand, due to the impact of climate change, pepper productivity has decreased sharply in recent years, averaging 20-30%.

Industry experts believe that pepper prices will continue to increase, although there may be some short-term adjustments, but they will not be too deep and the market has formed a new price level. However, the current pepper price is still not attractive enough for people to sell massively, because durian and coffee are at very good prices, helping farmers have enough financial capacity to store pepper. Even when prices are rising as high as now, they still choose to sell "drop by drop" to probe the market.

World pepper price today

At the end of the most recent trading session, the International Pepper Community (IPC) listed the price of Lampung black pepper (Indonesia) at 7,110 USD/ton, down 0.18%; the price of Brazilian black pepper ASTA 570 at 7,300 USD/ton; the price of Kuching black pepper (Malaysia) ASTA at 7,500 USD/ton.

Muntok white pepper price is 9,053 USD/ton, down 0.17%; Malaysian ASTA white pepper price is at 8,800 USD/ton.

Vietnamese black pepper price is traded at 6,400 USD/ton for 500 g/l, down 1.53%; 550 g/l is at 6,900 USD/ton, down 1.42%; white pepper price is at 9,500 USD/ton.

Pepper prices are currently in a state of constant shock and sharp decline, reflecting a market dominated by high speculation. The supply of goods for sale is small, pepper growers and purchasing agents tend to hoard goods in anticipation of higher prices.

This situation has led to a number of pepper exporting enterprises temporarily stopping buying pepper to rebalance the market. Currently, no enterprise is buying thousands of tons of pepper, making the demand in the market "fragile".

Some businesses have turned to find pepper sources from other countries such as Brazil and India to have enough goods to pay for signed contracts, but the high USD exchange rate and the 2-3 times increase in sea transport costs have caused significant difficulties for pepper exporting businesses.

The pepper market has formed a new price level, so pepper prices may decrease, but cannot decrease as deeply as before.

On the other hand, the increase in pepper prices in the context of a general increase in agricultural product prices is also a good signal for farmers not to rush to grow pepper like the previous price increase period. At the same time, farmers will have better conditions to take care of their pepper gardens in a sustainable way, adapt to climate change and increase output.

In the long term, in the next 3-5 years, the amount of pepper produced cannot meet the world's consumption demand. Ptexim Corp's market update report last week stated that the amount of pepper supplied to the market is not much. Transportation costs continue to increase rapidly and are forecast to remain high until 2025.

Rising raw material prices, coupled with longer than usual shipping times, have affected the cash flows of most manufacturers and exporters. Liquidity in the domestic market has been very low at times.

However, this unit also said that there are still signs that the market will develop sustainably in the coming time, especially in the fourth quarter of 2024 and the first quarter of 2025.

Domestic pepper price on July 2 , 2024

Province, city	Unit	Trader purchase price	Increase/decrease compared to yesterday
Chu Se (Gia Lai)	VND/kg	154,000	-2,000
Dak Lak	VND/kg	154,000	-3,000
Dak Nong	VND/kg	152,000	-5,000
Binh Phuoc	VND/kg	155,000	-2,000
Ba Ria - Vung Tau	VND/kg	155,000	-2,000