Market is quiet, identifying favorable factors for Vietnamese pepper before the new harvest

Pepper price today October 24, 2024 in the domestic market is stable in some key localities, trading from 143,500 - 145,000 VND/kg.

Pepper price today October 24, 2024: Market is quiet, identifying favorable factors for Vietnamese pepper before the new harvest. (Source: Getty)

Pepper price today October 24, 2024 in the domestic market is stable in some key localities, trading from 143,500 - 145,000 VND/kg.

Specifically, pepper price today in Gia Lai is at 144,000 VND/kg.

Pepper prices today in the provinces of Dong Nai (143,500 VND/kg); Dak Lak (145,000 VND/kg); Dak Nong (145,000 VND/kg); Ba Ria - Vung Tau (144,000 VND/kg) and Binh Phuoc (144,000 VND/kg).

Thus, domestic pepper prices today remained stable in some key growing areas, with only a slight increase of VND500/kg recorded in Gia Lai. The highest pepper price was at VND145,000/kg.

Domestically, the market has generally seen little trading activity, as cash flows shift to coffee. This year, coffee prices are high, so traders need more capital, leading some to sell some pepper to get money to do business. Most of those who have kept pepper until now want to wait for prices to increase further before selling.

Looking at the upward outlook, buying power from China and the year-end festival season are expectations for the market. In addition, the forecast of Vietnam's harvest next year being delayed by 1 month also causes doubts for the market.

Recently, the world market has been supplemented with a large amount from the Indonesian harvest, and China has taken advantage of this source to buy a lot. However, after the Indonesian harvest, the supply has not been significantly supplemented until February next year. This is a great advantage for Vietnamese pepper before entering the harvest next year.

Brazil is currently the world's second largest producer and exporter of black pepper after Vietnam, accounting for 17-18% of global supply. However, the country's pepper exports are facing the risk of decline for the third consecutive year due to crop failure.

The Import-Export Department (Ministry of Industry and Trade) forecasts that world pepper prices will remain high in the short term due to limited supply. As a result, the Vietnamese pepper industry will also benefit. In the long term, pepper export prices will still be supported due to the expected decrease in Vietnam's pepper output in the 2025 crop.

The global pepper market saw little change last week, with demand picking up in major markets such as the US, EU and Asia, while the Middle East and China remained subdued. Inventory levels have fallen significantly, prompting farmers and dealers to limit sales as pepper prices eased slightly.

At the end of the most recent trading session, the International Pepper Community (IPC) listed the price of Lampung black pepper (Indonesia) at 6,753 USD/ton, down 0.62%; the price of Brazilian black pepper ASTA 570 at 6,400 USD/ton; the price of Kuching black pepper (Malaysia) ASTA at 8,700 USD/ton.

Muntok white pepper price is 9,246 USD/ton, down 0.61%; Malaysian ASTA white pepper price is at 11,200 USD/ton.

Vietnamese black pepper prices are trading at 6,500 USD/ton for 500 g/l; 6,800 USD/ton for 550 g/l; and 9,500 USD/ton for white pepper. IPC slightly reduced Indonesian pepper prices after a series of recent increases.

Source: https://baoquocte.vn/gia-tieu-hom-nay-24102024-thi-truong-tram-lang-nhan-dien-yeu-to-thuan-loi-cua-ho-tieu-viet-nam-truoc-them-vu-thu-harch-moi-291131.html