Illustrative image (Source: VNA) Thepepper products to be traded on the VNX include black and white pepper undercode H.S 090411, and black and white ground pepper under code H.S 090412.
Tradingon the exchange will allow Vietnam’s pepper industry to enhance its globaltrading activities, according to the Vietnam Pepper Association (VPA).
Vietnamesepepper accounts for 60 percent of total pepper volume trading on the globalmarket, meaning the price of Vietnamese pepper has always exerted a significantinfluence on global pepper prices.
Peppertraded on the VNX will also connect to worldwide commodity exchanges, allowingfor the transparency of information being exchanged, reducing risk duringtrading and offering insured pricing, according to the VPA.
Since2014, the Vietnamese Government has planned to build an exchange for pepper,with the cooperation and support of the Indian Government. The two countrieshave discussed the building of cooperation mechanisms and technical support, sothat the two sides, which are the two largest pepper producers in the world,can coordinate in the regulation of the global pepper market.
In thefirst two months of this year, Vietnam’s export volume of pepper reached about16,000 tonnes, earning 112 million USD. These figures represented ayear-on-year reduction of nearly 20 percent in volume and 36 percent in value.
Thereduction was due to the global pepper price, which dropped by 20 percentagainst the same period last year.
Vietnam’slargest pepper export markets in the first two months included the US, India,Germany and the UK, accounting for over 41 percent of total pepper exports.
In 2016,Vietnam’s pepper exports reached 177,893 tonnes, earning 1.43 billion USD, anincrease of 35.3 percent in volume and 13.5 percent in value year-on-year.
Accordingto the Ministry of Industry and Trade’s target in 2017, pepper will be in thegroup of 13 exports with a value of over 1.5 billion USD. The local pepperindustry’s export turnover this year is expected to reach 1.6 billion USD, up13 percent over 2016.
With thelatest decision, pepper has become the third commodity traded on the VNX,joining rubber and coffee.
VNX hasbeen licensed by the Ministry of Industry and Trade to operate with totalcharter capital of 150 billion VND.
MoIT’sLegal Department has proposed the Government amend some regulations on goodstrading on commodity exchange to create favourable legal conditions for theoperation of the VNX.-VNA
Since2014, the Vietnamese Government has planned to build an exchange for pepper,with the cooperation and support of the Indian Government. The two countrieshave discussed the building of cooperation mechanisms and technical support, sothat the two sides, which are the two largest pepper producers in the world,can coordinate in the regulation of the global pepper market.
In thefirst two months of this year, Vietnam’s export volume of pepper reached about16,000 tonnes, earning 112 million USD. These figures represented ayear-on-year reduction of nearly 20 percent in volume and 36 percent in value.
Thereduction was due to the global pepper price, which dropped by 20 percentagainst the same period last year.
Vietnam’slargest pepper export markets in the first two months included the US, India,Germany and the UK, accounting for over 41 percent of total pepper exports.
In 2016,Vietnam’s pepper exports reached 177,893 tonnes, earning 1.43 billion USD, anincrease of 35.3 percent in volume and 13.5 percent in value year-on-year.
Accordingto the Ministry of Industry and Trade’s target in 2017, pepper will be in thegroup of 13 exports with a value of over 1.5 billion USD. The local pepperindustry’s export turnover this year is expected to reach 1.6 billion USD, up13 percent over 2016.
With thelatest decision, pepper has become the third commodity traded on the VNX,joining rubber and coffee.
VNX hasbeen licensed by the Ministry of Industry and Trade to operate with totalcharter capital of 150 billion VND.
MoIT’sLegal Department has proposed the Government amend some regulations on goodstrading on commodity exchange to create favourable legal conditions for theoperation of the VNX.-VNA
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