Illustrative photo
According to preliminary statistics from the General Department of Customs, Vietnam’s pepper exports in March 2024 reached 25,917 tons with a value of over 111 million USD, a sharp increase of 92.7% in volume and an increase of 104% compared to February 2024. In the first quarter, our country earned more than 235 million USD from pepper exports, with an output of 46,783 tons, a decrease of 25.4% in volume but an increase of 1.1% in price compared to the same period in 2023.
The average export price reached 4,152 USD/ton, a strong increase of 35%.
In terms of markets, the US is Vietnam’s largest pepper export market with 15,272 tons, equivalent to over 65 million USD, an increase of 30% in volume and 39% in value compared to the same period in 2023. The average export price reached 4,262 USD/ton, up 6% compared to the same period last year.
The market share of this market in Vietnam’s total pepper exports has increased from 15.4% to nearly 27%.
Meanwhile, according to the US International Trade Commission (USITC), US pepper imports in the first two months of the year reached 14,152 tons, worth 66 million USD, up 19.3% in volume and 13.8% in value compared to the same period last year. In which, in the first two months of the year, the volume reached 11,107 tons, worth over 51 million USD, up 19.7% in volume and 16% in value compared to the same period. With this result, Vietnam accounts for up to 79% of the total pepper imported into the US and far exceeds other suppliers.
According to the Vietnam Pepper Association (VPA), since 2001, Vietnam has become the world’s largest pepper exporter with a total export volume of 56,506 tons, accounting for 28% of the world’s total exports. Since then, Vietnam has continuously been the leading country in pepper production and export. Currently, Vietnamese pepper is present in 110 countries and territories. The export volume of pepper accounts for 60% of the world’s pepper exports with a variety of products such as black pepper, green pepper, white pepper, pepper powder, pickled pepper, etc.
Pepper is grown in 70 countries around the world. According to information from the Vietnam Pepper Association (VPA), the global pepper area is 757,093 hectares in 2022, an increase of 1.6% compared to 2021 (744,942 hectares). The area is mainly concentrated in the following countries: Brazil, India, Indonesia, Sri Lanka, Vietnam, etc.
The increasing demand from the US market, while production is declining in Vietnam and other producing countries, has pushed up pepper prices in the first months of the year. In the domestic market, as of the trading session on April 19, black pepper prices fluctuated in the range of 92,000 – 95,000 VND/kg, an increase of 13 – 16% compared to the end of last year.
Pepper is a major crop in our country, with a total pepper growing area of about 131,800 hectares, mainly concentrated in the Southeast and Central Highlands regions with an area accounting for over 95% of the country’s pepper growing area; the rest is scattered in the provinces of North Central and South Central Coast.
VPSA forecasts that Vietnam’s pepper output this year will decrease by 10% to 170,000 tons compared to the previous year, the lowest level in the last 5 years. The decrease in supply from countries like Indonesia, Brazil, Malaysia, and Cambodia is not enough to offset the decrease in Vietnam’s exports, leading to an increase in pepper prices since the beginning of the season.
