According to statistics from the Vietnam Pepper Association (VPA), in October 2023, Vietnam exported 19,193 tons of pepper of all kinds. The total export turnover reached 72.7 million USD: black pepper reached 61.9 million USD and white pepper reached 10.8 million USD. Compared to September, exports increased by 15.4% and turnover increased by 17.3%. The average export price of black pepper in the month reached 3,664 USD/ton (down 0.7%) and white pepper reached 5,211 USD/ton (up 1.1%).
Accumulated by the end of October 2023, Vietnam exported 223,578 tons of pepper of all kinds. The total export turnover was 750.8 million USD, including black pepper of 640.2 million USD and white pepper of 110.6 million USD. Compared to the same period last year, pepper exports increased by 14.6%, but export turnover decreased by 11.7%. The average export price of black pepper in 10 months reached 3,553 USD/ton and white pepper 5,082 USD/ton. Compared to the same period last year, the export price decreased by 17.6% for black pepper and 15.6% for white pepper.
The pepper industry is facing many difficulties.
According to the VPA, Vietnam exported all of its harvests in 2023, part of which was taken from imports as well as inventories from the previous year. It is expected that in 2023, the export volume will reach 250,000 tons. Accordingly, inventories in 2023 moving to 2024 will be at the lowest in recent years.
Ms. Hoang Thi Lien – Chairwoman of the Pepper and Spices Association said that: Despite the difficult market conditions in which the EU and US markets are quieter, the pepper industry still achieved a good export result, increasing in volume but decreasing in value compared to last year.
The pepper crop 2024 will begin in nearly two months in Dak Nong, which is considered the most important area of Vietnam’s pepper today. However, rains and floods in July are forecast to affect the upcoming pepper harvest. Besides, the El Nino phenomenon which will occur at the end of the year, may cause a decrease in Vietnam’s pepper production in 2024 compared to 2023.
According to forecasts, next year, pepper production may decrease by up to 15% due to a reduction in the area. The weather was unfavorable at the time pepper flowering so many pepper areas were switched to durian.
At the recent meeting of the VPA in Q3 of 2023, enterprises said that the VPA needs to survey the current durian development to assess the areas switched from pepper to durian as well as other crops. In addition, enterprises also want the VPA to build a strategy to support enterprises linking with farmers for traceability. In particular, the EU issued regulations on deforestation and immediate forest hazards applied to six commodity sectors: coffee, soybean, wood, cattle, cocoa, and rubber, which may soon include pepper. Therefore, enterprises believe that the VPA needs to prepare in advance for these regulations./.