Pepper price today October 26, 2023, market is quiet, only Vietnam recorded an increase in exports, assessment of pepper price 2024

Pepper prices today in the domestic market are stable in some key localities, trading from 67,000 - 70,500 VND/kg.

Pepper price today October 26, 2023, market is quiet, only Vietnam recorded an increase in exports, assessment of pepper price 2024. (Source: Getty)

Pepper prices today in the domestic market are stable in some key localities, trading from 67,000 - 70,500 VND/kg.

Specifically, pepper price today in Gia Lai is at 67,000 VND/kg.

Pepper prices today in Dong Nai province (68,500 VND/kg); Dak Nong, Dak Lak (68,500 VND/kg); Binh Phuoc (70,000 VND/kg) and Ba Ria - Vung Tau are at the highest level of 70,500 VND/kg.

Recent reports by Nedspice Group and Simexco Daklak both share the same opinion that Vietnam's pepper output will decrease by 15% in 2024.

The market is likely to remain subdued as importers are almost fully stocked for now. However, with Vietnam’s output forecast to decline next year, global demand for pepper is likely to outstrip supply and push prices higher next year.

According to preliminary statistics from the Vietnam Pepper Association (VPA), in the first 9 months of 2023, Vietnam exported 204,385 tons of pepper of all kinds. The total export turnover reached 678.1 million USD.

Compared to the same period in 2022, export volume increased by 15.3%, equivalent to 27,164 tons, however, export turnover decreased by 13.4%, equivalent to a decrease of 104.5 million USD.

In particular, the Chinese market is leading with 55,985 tons, accounting for 27.4% of market share and increasing 373.6% over the same period.

By the end of the third quarter of 2023, pepper exports recorded a decrease in most of the world's leading producing countries including Brazil (-2.4%), Indonesia (-24.8%), India (-30.3%)... and only increased in Vietnam (+18.1%).

The global economic downturn, high inflation and interest rates have negatively affected pepper consumption demand in many countries, especially the US and the European Union (EU). Meanwhile, demand from China and Africa has shown signs of recovery after the Covid-19 pandemic, which are also the two most active markets importing Vietnamese pepper in the first 9 months of this year.

In Southeast Asia, in addition to Vietnam, Indonesia, Malaysia and Cambodia, Thailand also grows pepper.

According to the International Pepper Community (IPC), from 2013 to 2022, Thailand's pepper cultivation area showed an upward trend, with an increase of 46%. The cultivation area in 2022 is estimated to be stable and unchanged at 600 hectares. This cultivation area has been maintained stable this year.

Thailand's pepper production has shown a downward trend since 2013, recording a 25% decrease over the past 10 years and is estimated to reach 4,500 tons in 2022. Thailand's pepper production in 2023 is expected to be stable and unchanged, with most of the output being black pepper.

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