Vietnam continues to lead the world in pepper export and production.

DNHN - This year, the global production of black pepper is projected to reach 526 thousand tonnes, with Vietnam's 200 thousand tonnes accounting for 38 percent.

The International Pepper Consortium (IPC) projects that global pepper production will reach 526 thousand tonnes in 2023, down from 537.6 thousand tonnes in 2022. It is anticipated that the output of this product in Brazil, Indonesia, and India will decrease relative to 2022.

Vietnam's pepper output is estimated at 200,000 tonnes, up 9.3% from the previous year and accounting for 38% of the global total.

With the above output, Vietnam maintains its position as the world's leader in pepper production and export.

In August of last year, Vietnam's pepper export industry experienced growth, with an estimated 16,000 tonnes exported and a total revenue of USD 60 million. In comparison to July 2023, exports increased in volume by 4.9% and in value by 5.4% this month.

In the first eight months of 2023, Vietnam's pepper export industry has experienced a significant advancement. During this period, the total export volume of "black gold" reached approximately 184 thousand tonnes, with a total turnover of 600 million USD, representing a volume increase of 14.5% compared to the same period last year. However, export value decreased by 15.9% over the same period the previous year, which can be explained by the decrease in the average export price of pepper.

Despite signs of recovery, the average export price of Vietnam's pepper in the past eight months has only reached 3,263 USD per tonne, a sharp decrease of 26.5% compared to the same period in the previous year.

Previously, on September 7, black pepper export prices for grades 500 and 550g/l in Vietnam reached 3,500 USD/ton and 3,600 USD/ton, respectively. In the meantime, the export price of white pepper remained unchanged at 5,100 USD per tonne. On the domestic market, pepper prices stay between 71,000 and 73,500 VND per kilogram.

According to industry professionals, the amount of pepper in the 2023 crop that will be consumed by individuals and businesses has decreased substantially. Currently, most exported pepper originates from stockpiles accumulated in prior years. This has caused pepper prices to rise in August 2023 and in recent days.

It is forecasted that in the short term, the global pepper market will continue to be under pressure from the decline in demand from the US, Europe, and China. However, the order in these markets has not increased significantly. Therefore, Vietnam's pepper exports will likely remain low shortly.

Bao Khe