Recently, the price of fresh betel nuts has been continuously increasing, reaching a historical record high, approximately eight times higher than last year. People in betel nut growing regions of Quang Nam , Quang Ngai, etc., harvested and sold their nuts for 40,000 VND/kg at the beginning of the season, then the price surged to 80,000-90,000 VND/kg. Notably, during the same period last year, the price of fresh betel nuts sometimes only fluctuated between 5,000-7,000 VND/kg.

In recent days, the price of dried betel nuts sold by processing plants has also surged to 500,000-570,000 VND/kg.

The reason for the skyrocketing and record-breaking price of betel nuts is due to China's aggressive purchasing spree.

As a result, betel nut farmers have also made unprecedented profits. Many even compare betel nuts to gold, because selling one ton of fresh betel nuts can buy one ounce of gold. Therefore, many farmers have spent money installing dozens of cameras around their betel nut orchards to combat betel nut theft.

betel nut
After reaching record highs, the price of fresh betel nuts began to plummet due to a halt in purchases from China. Photo: Ha Nam

Meanwhile, traders from all over flocked to the villages of Quang Nam and Quang Ngai provinces, scouring for fresh betel nuts to export to the Chinese market.

However, after reaching a historical record, the price of fresh betel nuts began to plummet. From 85,000-90,000 VND/kg, the price of this fruit quickly dropped to 60,000-70,000 VND/kg. Notably, some betel nut processing plants even stopped buying.

According to traders, the sharp drop in betel nut prices is due to Chinese partners having imported enough for production, so they have stopped buying. Therefore, it is highly likely that the downward trend in betel nut prices will continue in the coming days.

Speaking to VietNamNet about the story of betel nut prices soaring to record highs and then plummeting, Mr. Nguyen Nhu Cuong – Director of the Department of Crop Production (Ministry of Agriculture and Rural Development) – said that the pattern of prices rising and then falling sharply has become a "formula".

He emphasized that this "formula" is repeated with informal exports. Accordingly, betel nuts have a very narrow market, currently only being exported informally to China. Therefore, the story of betel nut prices soaring and then plummeting has happened many times in recent years.

In fact, at the end of 2022, the price of betel nuts also skyrocketed to 60,000 VND/kg. Shortly after, the price dropped to 3,000-4,000 VND/kg when China stopped buying.

Agricultural authorities and local governments have issued numerous warnings regarding various crops. However, our farmers suffer from a tendency to forget, so the cycle of prices rising only to plummet, or planting and then cutting down crops, continues to occur.

"It's not just with betel nuts; we've learned too many lessons from pepper, dragon fruit, oranges... and it's very likely to happen again with durian in the near future," Mr. Cuong said.

The Ministry of Agriculture and Rural Development has repeatedly issued recommendations and guidance, but the decision to plant or not rests with the farmers. Prices must follow market forces; if traders stop buying and prices fall, the authorities cannot intervene.

In China, young betel nuts are used to make candy. This type of candy is very popular in the country of over a billion people, especially in cold regions, because it is believed to help soothe sore throats and keep the body warm.

However, the head of the Department of Crop Production believes that sustainable betel nut cultivation requires a clear direction, planting in areas with advantages. In particular, there must be formal, well-structured sales agreements with Chinese partners. Small-scale, informal trade carries many risks.

Prices reach record highs: 1 ton of fresh betel nuts is worth as much as gold . The price of fresh betel nuts has been continuously rising to record levels, approximately eight times higher than last year. Farmers in Quang Nam and Quang Ngai provinces are thrilled that selling 1 ton of betel nuts can buy them a significant amount of gold.