Global pepper production is believed to continue declining while the inventory is very low, along with stable consumption demand, which will help maintain high pepper prices in 2025 and create momentum for the continued growth of Vietnamese pepper exports.
Statistics from the Vietnam Pepper and Spice Association (VPSA) show that in January 2025, Vietnam exported 13,085 tons of pepper of all types, including 10,502 tons of black pepper and 2,583 tons of white pepper. The total export turnover was 87.7 million USD.
Regarding imports, in January 2025, Vietnam imported 1,817 tons of pepper, including 753 tons of black pepper and 1,064 tons of white pepper, with a total import value of 10.9 million USD. Compared to December 2024, the import volume decreased by 51.5%. Indonesia was the main supplier of pepper to Vietnam.
The Import-Export Department (Ministry of Industry and Trade) reported that in January 2025, global pepper prices increased due to forecasts of a decrease in supply, while demand in major markets such as the US and EU remained stable. The demand for pepper in the food and spice processing industry is the main driving force for the market.
Pepper prices are forecast to remain high in 2025 due to a decrease in supply.
Ms. Hoang Thi Lien, Chairwoman of the VPSA, said that global pepper production in 2025 is expected to continue declining compared to 2024. Because it is no longer the main crop for many farmers, especially in the context of competitive economic value from other crops while the cost of maintaining pepper production has also increased. In addition, climate change with extreme weather events has reduced pepper productivity in many countries.
In 2024, China purchased very little Vietnamese pepper; therefore, it is expected that in the 2025 harvest, they will buy a lot. Along with that, other markets are waiting for the harvest in Vietnam to focus on purchasing. This is an opportunity for Vietnamese pepper to access deeper into this potential market.
2024 is considered a successful year for the Vietnamese pepper industry, with export volume reaching 249.38 thousand tons, worth 1.31 billion USD, an increase of 44.4% in value compared to 2023. The average export price of Vietnamese pepper in 2024 reached a record high, at 5,280 USD/ton.
Vietnam’s pepper production now accounts for about 60% of the world’s total demand. Perhaps, the demand from buyers is higher than that of sellers; with limited supply and high demand, the pepper prices will be better than they are now.
Currently, the price of pepper is around 150,000 VND/kg, and it is forecast that by 2025, the price could increase to over 240,000 – 250,000 VND/kg.