Vietnamese pepper will benefit from high export prices

According to data from the General Department of Customs, Vietnam's pepper exports in August 2024 reached 19,420 tons, valued at $ 116.75 million. This represents a decrease of 3.1% in volume but an increase of 56% in value compared to August 2023.

For the first eight months of 2024, Vietnam's pepper exports totalled 182,930 tons, valued at $ 877.98 million, which is a 2.7% decline in volume but a 42.8% increase in value compared to the same period in 2023.

The pepper industry in Vietnam is expected to benefit from high export prices due to limited supply. According to the Vietnam Pepper Association, the amount of pepper available among farmers is nearly depleted, existing only in the warehouses of businesses and dealers.

The Vietnam Pepper and Spice Association (VPSA) reported that the inventory from the 2023 crop, along with the imports in 2024, is estimated to be around 40,000 to 45,000 tons (including unofficial imports). This indicates that the export supply until the end of the year will be lower than in previous years, and the 2025 harvest is not expected until March 2025.

In August 2024, the average export price of Vietnamese pepper reached a record high of $ 6,012/ton, an increase of 0.9% compared to July 2024 and a significant rise of 61.1% compared to August 2023.

For the first eight months of 2024, the average export price of Vietnamese pepper was $ 4,800/ton, a 46.7% increase compared to the same period in 2023.

In August 2024, exports of pepper to Germany and the United States saw significant increases in both volume and value compared to the same period last year. Conversely, exports to other markets, such as the United Arab Emirates, India, the Netherlands, and the Philippines, experienced declines.

Overall, for the first eight months of 2024, exports of pepper increased to most markets. Notably, exports to Germany, the United Arab Emirates, South Korea, and Pakistan recorded increases of up to three digits.