Pepper price today September 27, 2023, the market reacted negatively, Vietnamese pepper price decreased, actual inventory is not much

Pepper prices today in the domestic market turned down slightly in some key localities, trading from 69,500 - 72,000 VND/kg.

Pepper price today September 27, 2023, the market reacted negatively, Vietnamese pepper price decreased, actual inventory is not much. (Source: Shutterstock)

Pepper prices today in the domestic market turned down slightly in some key localities, trading from 69,500 - 72,000 VND/kg.

Specifically, pepper price today in Gia Lai is at 69,500 VND/kg.

Pepper prices today in Dong Nai province (70,000 VND/kg); Dak Nong, Dak Lak (70,500 VND/kg); Binh Phuoc (71,500 VND/kg) and Ba Ria - Vung Tau are at the highest level of 72,500 VND/kg.

According to the Vietnam Pepper Association (VPPA), the actual pepper inventory among the people is not much, most of it is only in the hands of agents and some speculators. Meanwhile, some processing enterprises have enough goods to process at the end of the year, so there is no real need to buy at this time.

According to statistics from the General Department of Customs, in August 2023, Vietnam exported approximately 20.14 thousand tons of pepper, worth 75.34 million USD, up 32% in volume and 32.4% in value compared to July 2023.

Compared to August 2022, Vietnam's pepper exports increased by 9.0% in volume and 0.2% in value, according to the latest report of the Import-Export Department ( Ministry of Industry and Trade ).

European Union (EU) pepper imports tend to decrease in the context of slowing economic growth in the region, consumers cutting spending due to high inflation and interest rates.

According to statistics from the European Statistical Office (Eurostat), in the first 6 months of 2023, the EU imported 39.69 thousand tons of pepper, worth 200.45 million EUR (equivalent to 213.72 million USD), down 25.4% in volume and 25.2% in value compared to the same period last year.

Vietnam remained the largest pepper supplier to the EU in the past 6 months with a volume of 15,153 tons, down 23.2% year-on-year. Vietnam's pepper market share in the EU's total imports from the world increased from 37.08% in the first 6 months of 2022 to 38.18% in the first 6 months of 2023.

However, EU pepper imports from other markets decreased at a stronger rate, such as Brazil reaching 4,171 tons, down 53.2%; India reaching 1,439 tons, down 27.8%; Indonesia reaching 1,431 tons, down 53.3%... compared to the same period last year.

Compared to other pepper producing countries such as Indonesia, Malaysia, India, Sri Lanka, Cambodia, etc., Vietnam has a great advantage thanks to the EVFTA Free Trade Agreement. Accordingly, the import tax on ground or crushed pepper exported from Vietnam to the EU has been reduced from 4% to 0%.

The Vietnam Pepper and Spice Association said that the market last week showed a rather negative reaction when no producing country tended to increase prices.

In South Asia, Indian pepper prices fell. After two weeks of stability, domestic pepper prices in Sri Lanka also recorded a decline last week.

In Southeast Asia, domestic and international pepper prices in Indonesia were stable last week.

Malaysia's domestic and international pepper prices remained stable and unchanged last week.

Only domestic black pepper prices in Vietnam recorded a decrease last week. Meanwhile, other types remained stable and unchanged.

Meanwhile, the US market is stable and unchanged from 2 weeks ago. Moreover, supply and demand from the producing country for the latest shipping units are limited.

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