Pepper export price grows by double digits

The Import-Export Department (Ministry of Industry and Trade) cited data from the General Department of Customs, saying that Vietnam's pepper exports in February 2024 reached 18 thousand tons, worth 73 million USD, up 3.1% in volume and 5.2% in value compared to January 2024, but down 35.2% in volume and 12.5% in value compared to February 2023.

In the first two months of 2024, Vietnam's pepper exports reached about 35 thousand tons, worth 143 million USD, down 12.3% in volume, but up 12.9% in value over the same period in 2023.

In February 2024, the average export price of Vietnam's pepper is estimated at 4,082 USD/ton, up 2.0% compared to January 2024 and up 35.9% compared to February 2023. In the first two months of 2024, the average export price of Vietnam's pepper is estimated at 4,041 USD/ton, up 28.7% over the same period in 2023.

In February 2024, the price of black pepper in the domestic market fluctuated in an upward trend and remained at a high level. The upward trend is forecast to continue in the short term due to limited supply.

After the Lunar New Year holiday, the harvest output is still low due to lack of workers. In addition, the strong demand for pepper from China has pushed up prices.

On February 28, 2024, black pepper prices increased from 10,000 - 11,000 VND/kg compared to the end of January 2024 (depending on the surveyed area), to 91,000 - 94,000 VND/kg.

The global pepper market is expected to be vibrant. Due to seasonal differences, pepper prices will continue to stay high for the next few months.

Among the countries with large pepper production, Brazil has passed the harvest season, Vietnam is now entering the harvest season, while the main crop of Indonesia and Malaysia is in July every year.

Vietnam's 2024 crop output is expected to decrease by about 10.5% compared to the previous crop, down to 170 thousand tons, the lowest level in the past 5 years. Meanwhile, the supply from Indonesia, Brazil, Malaysia, and Cambodia is not enough to compensate for the decrease in Vietnam's exports, which will push pepper prices up sharply right from the beginning of the season.

Vietnam is still the world's largest pepper exporter. Last year, our country exported pepper to more than 100 countries and territories. Vietnam's traditional export markets include: China, the US, India, the United Arab Emirates, the Philippines... Accordingly, our country's supply of this "black gold" will have a big impact on the global market.

Currently, many domestic enterprises have increased purchases to ensure export progress, pepper prices on March 4 reached a new peak of 96,000 VND/kg. Experts say that domestic pepper prices will remain high and the upward trend will continue.

Mr. Hoang Phuoc Binh - Vice President of Chu Se Pepper Association (Gia Lai) - commented that pepper prices will continue to increase and may return to over 100,000 VND/kg in the near future. Global pepper output and in Vietnam are forecast to decrease, along with many farmers not rushing to sell pepper to the market, contributing to the scarcity as well as keeping pepper prices high.

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