Vietnamese businesses spend 2.7 trillion VND importing 'black gold'.

In just 10 months, businesses spent approximately 2.7 trillion VND to import this type of grain, often referred to as "black gold," into Vietnam.

According to preliminary statistics, in the past 10 months alone, businesses spent $108 million (equivalent to VND 2,700 billion) to import pepper. Compared to the same period last year, imports of this commodity increased sharply by 38.2%.

In particular, businesses mainly import pepper from Brazil, Indonesia, and Cambodia.

Mr. Phan Minh Thong, Chairman of the Board of Directors of Phuc Sinh Joint Stock Company, believes that the Vietnamese pepper industry is benefiting from high export prices due to limited supply.

Accordingly, pepper farmers have benefited this year from excessively high selling prices. Conversely, export businesses have been unable to purchase much domestic pepper. This is also partly why Phuc Sinh has had to import a large amount of pepper from Brazil and Indonesia this year.

The reason is that, due to reduced production, farmers are hoarding pepper for speculation. In addition, the prolonged drought is making the domestic pepper supply increasingly difficult.

Pepper shortages have driven prices up sharply. Photo: Minh Khang Pepper.

Conversely, the Ministry of Agriculture and Rural Development reported that in the first 10 months of 2024, Vietnam exported approximately 220,300 tons of pepper, with an estimated value of 1.12 billion USD. Although the volume of pepper exports decreased by 2.3% compared to the same period last year, the value increased sharply by 48.2%.

The average export price of pepper in the first 10 months of 2024 is estimated at 5,084 USD/ton, an increase of 51.7% compared to the same period in 2023.

In terms of markets, the United States, Germany, and the United Arab Emirates (UAE) are the three largest customers, accounting for 44.2% of the value of Vietnam's "black gold" exports in the first nine months of 2024. Exports to Germany alone increased 2.4 times compared to the same period last year.

Officially back in its golden age, 'black gold' exports bring in over $1 billion . Soaring prices have brought this tiny Vietnamese seed, dubbed "black gold," back to its heyday, with exports generating over $1 billion in just 9 months.

Source: https://vietnamnet.vn/doanh-nghiep-viet-chi-2-700-ty-nhap-khau-vang-den-2337432.html