The Ministry of Agriculture and Rural Development (MARD) forecasts that the price of pepper in the world market will continue rising due to a sharp decrease in supply.
The Ministry of Industry and Trade’s Trade Information Centre reported that this year’s pepper output of Vietnam and India – the first and second black pepper producers and exporters in the world – fell by 20 percent and 30 percent, respectively. In addition, pepper production of other countries, including Indonesia and Malaysia , failed to record satisfactory results.
The global pepper output is estimated to drop 60,000 tonnes this year, lower than the World Pepper Association’s forecast or down by 18 percent year on year to around 230,000 tonnes.
The shortage in pepper supply has contributed to the increase in the world’s prices which fluctuated at 3,300 USD-3,800 USD per tonne in June, a year-on-year rise of around 80 percent.
This helped boost Vietnam ’s pepper export price in the second quarter of 2010 to 3,170 USD per tonne, an increase of 4.8 percent over the first quarter of the year and 40.5 percent year on year.
The country exported around 75,000 tonnes for 234 million USD in the first half of the year, representing year-on year increases of 9 percent in volume and 47.3 percent in value.
Pepper prices in the domestic market also increased over recent months to 60,000 VND per kg in June, a year-on-year increase of 67 percent.
MARD warned businesses not to sign big export contracts to avoid the lack of goods for exports when the price is high.
Businesses should pay attention to pepper processing to increase the value of exports to the world market, especially the US , the biggest Vietnamese pepper importer./.
The Ministry of Industry and Trade’s Trade Information Centre reported that this year’s pepper output of Vietnam and India – the first and second black pepper producers and exporters in the world – fell by 20 percent and 30 percent, respectively. In addition, pepper production of other countries, including Indonesia and Malaysia , failed to record satisfactory results.
The global pepper output is estimated to drop 60,000 tonnes this year, lower than the World Pepper Association’s forecast or down by 18 percent year on year to around 230,000 tonnes.
The shortage in pepper supply has contributed to the increase in the world’s prices which fluctuated at 3,300 USD-3,800 USD per tonne in June, a year-on-year rise of around 80 percent.
This helped boost Vietnam ’s pepper export price in the second quarter of 2010 to 3,170 USD per tonne, an increase of 4.8 percent over the first quarter of the year and 40.5 percent year on year.
The country exported around 75,000 tonnes for 234 million USD in the first half of the year, representing year-on year increases of 9 percent in volume and 47.3 percent in value.
Pepper prices in the domestic market also increased over recent months to 60,000 VND per kg in June, a year-on-year increase of 67 percent.
MARD warned businesses not to sign big export contracts to avoid the lack of goods for exports when the price is high.
Businesses should pay attention to pepper processing to increase the value of exports to the world market, especially the US , the biggest Vietnamese pepper importer./.
