COUNTRIES AROUND THE WORLD MASSIVELY BUY VIETNAMESE BLACK PEPPER - PEPPER PRICES INCREASED STRONGLY:

The world's pepper supply is scarce, and countries around the world are rushing to buy pepper, pushing up the price. This strong commodity of our country is in a price fever, not unlike the recent increase in coffee prices.

Trong tháng 6 vừa qua thị trường hạt tiêu trong nước tiếp tục tăng sốc, còn được ví như “vàng đen” của Việt Nam (đứng đầu thế giới về sản xuất và xuất khẩu) tiếp tục tăng sốc.

Agents in pepper "capitals" such as Dak Lak, Dak Nong, Gia Lai, Dong Nai, Binh Phuoc, Ba Ria - Vung Tau... continued to increase pepper purchasing prices by 6,000-13,000 VND/kg. This is a large price increase that has only happened in many years. Accordingly, black pepper prices have jumped to 152,000-157,000 VND/kg, surpassing all previous forecasts. Compared to June 7 last year, pepper prices have increased by 113.6%. Compared to 1 month ago, prices have increased by 51%.

If pepper is sold at the present time, farmers will earn 72,000-77,000 VND/kg. In the world market, pepper prices of countries have increased slightly or remained stable. In particular, Vietnam's "black gold" has increased sharply. The export price of 500g/l and 550g/l black pepper on June 7 was also traded at 6,500 USD/ton, compared to June 4, the prices increased by 900 USD/ton and 600 USD/ton, respectively.

Similarly, our country's white pepper exports also jumped to 9,500 USD/ton, a sharp increase of 1,500 USD/ton compared to June 4. Currently, the export prices of 500g/l and 550g/l black pepper increased by 85.7% and 80.5% respectively compared to the same period last year; the export price of white pepper increased by 90%. Vietnam's pepper accounts for 40% of global output and 60% of export output. However, many forecasts show that the output of this "black gold" item in our country has decreased sharply due to the impact of weather factors and the decline in growing areas. This year, it is estimated that our country's pepper output will only reach 150,000-160,000 tons, a decrease of 10-15% compared to the previous crop.

Statistics from the General Department of Customs show that last May, Vietnam exported 30,000 tons of pepper, worth 135 million USD, up only 3.7% in volume but up 49.9% in value compared to May 2023.

In the first 5 months of 2024, Vietnam exported an estimated 113,000 tons of pepper, earning 487 million USD. The amount of pepper exported decreased by 14.1% but the value increased by 19.7% compared to the same period last year as this item entered a strong price increase cycle. Notably, pepper exports to traditional markets increased sharply, especially the German and Korean markets... recording triple-digit growth.

In the first 4 months of this year, countries spent a lot of money to buy large quantities of pepper from Vietnam. Specifically, the US spent more than 100 million USD to buy 22,700 tons of "black gold" from Vietnam, compared to the same period last year, an increase of 45.7% in volume and 60.1% in value. Accordingly, the US continues to maintain its position as the largest customer of Vietnamese pepper. Exports to Germany exploded when this market bought more than 5,500 tons of pepper from our country, worth 26.24 million USD, a sudden increase of 108.8% in volume and 147.2% in value compared to the same period last year.

In addition, pepper export value to South Korea, Pakistan, and Russia also recorded impressive increases compared to the same period last year, respectively 176.1%, 108.7%, and 121.9%. The Import-Export Department (Ministry of Industry and Trade) forecasts that pepper prices will continue to increase. Currently, pepper supply is in short supply while demand has recovered strongly from major markets such as Europe, the US, and China. Pepper output this year in Vietnam and many major producing countries is forecast to decrease, due to the impact of the El Nino phenomenon and the decline in cultivated area.