Falling below 150,000 VND/kg?

Pepper prices are forecast to drop sharply on July 17, 2024. Experts say there is no driving force to increase prices. However, domestic pepper prices have formed a new price range and are unlikely to decrease further. Pepper prices fluctuate around 150,000 VND/kg. If coffee prices adjust down this week after the past 2 weeks of hot growth, capital flows back to pepper, expected to push pepper prices up to 155,000 VND/kg.

Regarding the reductions, experts say that the high pepper prices may trigger some pepper growers and dealers to sell off their stocks from other crops to the market. In addition, some dealers who receive consignments from people are now turning around to squeeze prices.

Pepper price forecast on July 17, 2024: Will it drop below 150,000 VND/kg?

In the domestic market, pepper prices today, July 16, 2024, in the Southeast region, continued to stagnate in some localities, trading around 150,400 VND/kg, the highest purchase price in Ba Ria - Vung Tau and Dak Nong provinces was 151,000 VND/kg.

Dak Lak pepper price is purchased at 150,000 VND/kg, unchanged from yesterday. Chu Se pepper price (Gia Lai) continues to stand at 150,000 VND/kg. Dak Nong pepper price today also remains stable at 151,000 VND/kg.

In the world market, the International Pepper Community (IPC) listed the price of Lampung black pepper (Indonesia) at 7,211 USD/ton; the price of Brazilian black pepper ASTA 570 at 7,150 USD/ton; the price of Kuching black pepper (Malaysia) ASTA at 7,500 USD/ton.

Muntok white pepper price is 9,182 USD/ton; Malaysian ASTA white pepper price is at 8,800 USD/ton.

Vietnamese black pepper prices remain at a high level, trading at 6,000 USD/ton for 500 g/l; 6,600 USD/ton for 550 g/l; white pepper prices at 8,800 USD/ton. IPC maintains pepper prices in Indonesia, Brazil, and Vietnam.

Domestic pepper price on July 16 , 2024

Province, city	Unit	Trader purchase price	Increase/decrease compared to yesterday
Chu Se (Gia Lai)	VND/kg	150,000	–
­­ Dak Lak	VND/kg	150,000	–
Dak Nong	VND/kg	151,000-	–
Binh Phuoc	VND/kg	150,000	–
Ba Ria - Vung Tau	VND/kg	151,000	–

Many people expected that the increase in purchases from China from the third quarter of 2024 would help the market improve, but in reality, there have been no signs of improvement. The amount of pepper exported to China is still very low compared to previous years.

Many experts say that the law of pepper prices this year is not the same as previous years. This time is considered to be a shortage of supply because Vietnam - the country supplying up to 50% of the global pepper supply - has ended its crop since March, while Brazil has not yet entered its crop, and Indonesia and Malaysia are in their main crop around July.

Supply is lower than demand is the reason for the upward trend in pepper prices in all markets, not just Vietnam. Maintaining the main global supply in recent months has helped Vietnamese pepper prices increase sharply even during the harvest season.

In the long term, in the next 3-5 years, the amount of pepper produced cannot meet the world's consumption demand. Therefore, the Vietnamese pepper industry will still have many opportunities to develop and maintain the current growth momentum.

*Information for reference only. Prices may vary depending on time and location.

Source: https://congthuong.vn/du-bao-gia-tieu-ngay-1772024-tut-doc-roi-moc-150000-dongkg-332730.html