Pepper price today October 29, 2024: Sharp decrease of up to 2,500 VND/kg

Domestic pepper price on October 29, 2024

Specifically, Dak Lak pepper price was purchased at 143,000 VND/kg, down 2,500 VND/kg compared to yesterday. Chu Se pepper price (Gia Lai) was purchased at 142,000 VND/kg, down 2,000 VND/kg compared to yesterday. Dak Nong pepper price today was recorded at 143,000 VND/kg.

In the Southeast region, pepper prices today decreased sharply by 2,000 VND/kg compared to yesterday. Specifically, in Ba Ria - Vung Tau, it is currently at 143,000 VND/kg, down 2,000 VND/kg compared to yesterday; in Binh Phuoc, pepper prices today are at 142,000 VND/kg.

Ms. Hoang Thi Lien, President of the Vietnam Pepper and Spice Association (VPSA), said that 2024 is a breakthrough year for spice exports, especially to countries in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). This success is thanks to incentives from the FTA, helping to promote the export of cinnamon, star anise, pepper and many other spices, with strong growth in the first 8 months of 2024.

Pepper enterprises have taken advantage of the FTA to export to the CPTPP market, in which Australia, Japan and New Zealand are the main consumption markets. Vietnam has a great advantage in production, and is currently exporting directly to Japan, while attracting investment from Japanese enterprises in the spice industry in Vietnam. Particularly in the Australian and New Zealand markets, Vietnam is holding an absolute advantage in supplying pepper.

The current ratio of raw and processed pepper exports is 80-20, and VPSA is encouraging businesses to invest in deep processing. However, deep-processed products need to ensure a stable consumption market due to their high specificity. For developed markets such as the EU, Australia, Japan, New Zealand, and the United States, when Vietnamese pepper is accepted in these markets, it simultaneously enhances its position in the high-end market segment.

World pepper price today

Update on world pepper prices from the International Pepper Community (IPC), at the end of the most recent trading session, IPC listed the price of Indonesian Lampung black pepper at 6,724 USD/ton, and the price of Muntok white pepper at 9,205 USD/ton.

The price of Brazilian ASTA 570 black pepper was at USD 6,400/ton. The price of Malaysian ASTA black pepper remained stable at USD 8,500/ton; the price of this country's ASTA white pepper reached USD 11,000/ton.

Vietnamese black pepper prices today are stable at a high level, trading at 6,500 USD/ton for 500 g/l; 550 g/l at 6,800 USD/ton; white pepper prices at 9,500 USD/ton.

Experts say the pepper market will continue to decline this week. Floods following storm Tra Mi are likely to affect pepper gardens, raising concerns about next year’s crop. This could be a factor that helps balance the market, preventing pepper prices from falling below VND140,000/kg.

In the first session of the week, domestic pepper prices fell sharply due to cash flow shifting to coffee trading, a commodity that is entering the early season with prices doubling compared to last year. To meet capital needs for coffee, many traders and agents have sold off pepper in their warehouses to import goods, while pepper consumption demand has shown no signs of improvement.

In the short term, pepper prices may stabilize or decrease slightly due to limited supply and unrecovered demand. However, in the long term, when the world economy stabilizes and climate change response solutions are effectively applied, the pepper market is likely to recover and develop again.