Pepper prices on 06/12/2024: Soaring to VND 180,000/kg

Pepper prices on June 12 globally

On the global scale, the pepper market on June 12 experienced mixed fluctuations.

In Indonesia, the price of Lampung black pepper saw a slight decrease of 0.03%, reaching $ 6,449/ton. Meanwhile, the price of Muntok white pepper from the same country decreased by 0.04%, standing at $ 8,417/ton.

The black pepper price of Kuching ASTA in Malaysia remained stable at $ 4,900/ton, while the white pepper ASTA of this country maintained a price of $ 7,300/ton.

In the Brazilian market, the price of ASTA 570 neo black pepper reached $ 8,500/ton.

In Vietnam, the export price of black pepper, grade 500 g/l, increased by 16.67%, trading at $ 7,800/ton; while the grade 550 g/l surged by 16.25%, reaching $ 8,000/ton. The export price of white pepper saw a dramatic increase of 20.83%, hitting the mark of $ 12,000/ton.

Pepper prices on the world market today, June 12, experienced slight declines in Indonesia but surged in Vietnamese export pepper. Meanwhile, other markets remained stable.

The global pepper prices surged significantly due to Brazil and Vietnam (which determine the world’s supply) experiencing decreased production due to the effects of El Nino-induced drought. Supply from countries like Indonesia, India, Malaysia, and Sri Lanka is also restricted.

According to assessments, in the long term, over the next 3-5 years, the production of pepper seeds may not meet the world’s consumption demand.

Other factors besides supply and demand driving the soaring pepper prices include maritime transport costs. The global container index, representing container shipping rates on major international routes, has returned to peak levels due to the COVID-19 pandemic.

Linerlytica, a maritime transport market research firm, stated that ports in Southeast Asia are becoming the “most critical bottleneck” for global maritime transport operations, with 26% of global container capacity stuck in this region.

This has pushed up product prices, causing goods to rise significantly over time. In addition, domestic speculation activities are also considered one of the main reasons for the current price hike. The pepper market is further stimulated by high buying power from China month by month.

Thus, global pepper prices on 06/12/2024, fluctuated inconsistently compared to yesterday.

Pepper prices on June 12 domestically

In the domestic market, pepper prices on June 12 continued to surge significantly compared to yesterday.

Specifically, in Dak Lak, prices increased by up to VND 9,000, with pepper being purchased at VND 179,000/kg;

Similarly, in Dak Nong, pepper prices today reached VND 180,000/kg;

Pepper prices in Gia Lai today increased to VND 176,000/kg, after rising by VND 8,000;

At the same rate of increase, traders in Dong Nai are purchasing pepper at VND 176,000/kg;

Pepper prices in Ba Ria – Vung Tau are climbing to VND 176,000/kg, up by VND 7,000;

With an increase of VND 7,000, traders in Binh Phuoc are trading pepper at VND 176,000/kg.

Domestic pepper prices today continue to surge, increasing by an additional 7,000 – 9,000 VND. This brings the price of this agricultural product to easily touch the record level of 180,000 VND/kg.

The upward trend of pepper prices has led to a further decline in coffee prices. Currently, the price of this agricultural product has fallen to 121,000 VND/kg.

Thus, domestic pepper prices on 06/12/2024, are trading around the range of VND 176,000 – 180,000/kg.

$ 1 = VND 25.196 – Source: Vietcombank