In the first two months of 2024, the US is Vietnam’s largest pepper export market with an output of 8,735 tons, equivalent to 36.5 million USD, accounting for 28.3%.
According to the General Department of Customs, in February 2024, Vietnam exported 13,450 tons of pepper, equivalent to 54.5 million USD. This result was down 23% in volume and 22% in turnover compared to the previous month.
In general, in two months, Vietnam’s pepper exports reached 30,914 tons, worth 124.3 million USD, down 23.5% in volume and 2.1% in value over the same period last year. In contrast to output and turnover, the average export price in February 2024 reached 4,021 USD/month, which was a sharp increase of 28% over the same period in 2023.
Pepper prices in the domestic market have continued to increase in recent days. The price of black pepper in the Central Highlands provinces is fluctuating at 93,500 – 95,500 VND/kg, up 15 – 16% compared to the end of 2023 and 45 – 47% over the same period last year. Thus, domestic pepper prices are currently at the highest level since 2017. Due to the high price of pepper, farmers are keeping goods and waiting for higher prices.
The US is Vietnam’s largest pepper export market.
In terms of market, the US was the largest pepper export market of Vietnam in the first two months of the year, with 8,735 tons, equivalent to 36.5 million USD, accounting for 28.3%. Followed are India and Germany, which have seen growth in output and turnover.
Meanwhile, pepper exports to China in two months decreased sharply from 10,209 tons in the same period in 2023 to 816 tons. This market also fell to 10th place in terms of imports of Vietnam’s pepper with a market share of 2.6% compared to 25.3% of the same period last year.
In February 2024, Vietnam exported 193 tons to Italy, equivalent to 769,000 USD. This was a sharp increase of 1,187% in volume and 1.241% in value over the same period in 2023, accounting for 1.1% of total export output. The average export price reached 4,085 USD/ton, up 12.4% over the same period last year.
According to the Vietnam Pepper and Spice Association (VPSA), Vietnam provides about 50% of pepper and accounts for 60% of the global market share. At the same time, Vietnam has been the world’s No. 1 exporter for more than 20 years. Currently, the country has 100,000 pepper growers, 200 export enterprises, and 35 pepper processing factories.
The VPSA forecasts that Vietnam’s pepper production this year will decrease by 10% to 170,000 tons compared to last year,which is the lowest level in the last five years. The supply from Indonesia, Brazil, Malaysia, and Cambodia is not enough to compensate for the decrease in Vietnam’s exports. Thus, it will push up pepper prices right from the beginning of the season./.
