Pepper Market Review Week 11 and export statics of Vietnam January and February 2019

General Department of Vietnam Customs data published this week  revealed by  end of February, Vietnam exported 34,794 tons of pepper, including 31,253 tons of black pepper and 3,541 tons of white pepper. Total export turnover reached 101 million USD, black pepper reached 87 million USD, white pepper reached 14 million USD. The average export price of black pepper in the first 2 months of the year reached 2,782 USD / ton, white pepper reached 3,958 USD / ton. Compared to the same period of 2018, export volume increased by 15.5% while export turnover decreased by 13.2%. Export price of black pepper decreased by 339 USD, white pepper decreased by 606 USD.

The US continues to be the leading importer of pepper from Vietnam, in the first 2 months of 2019, the US imported 7,372 tons, an increase of 1,877 tons. China is the second largest import market with an increase of 613 tons from 3,650 tons to 4,263 tons. Followed by Ireland increased by 689 tons, the Philippines increased by 487 tons, South Korea increased by 417 tons, etc. Some markets reduced imports such as Russia by 220 tons, Nepal by 217 tons, Egypt by 215 tons, in February, Vietnam exported 16,756 tons of pepper, including 15,322 tons of black pepper and 1,434 tons of white pepper. Total export turnover reached 44.2 million USD, black pepper reached 38.8 million USD, white pepper reached 5.4 million USD. The average export price of black pepper in February was 2,533 USD / ton, white pepper was 3,760 USD / ton. Compared to January 2019, export volume decreased by 7.1%, turnover decreased by 22.1%, black pepper export price decreased by 488 USD, white pepper decreased by 333 USD

Pepper prices in all origins especially in Brazil and Vietnam closed firmer with heavy buying from all importing countries predominantly North America and China for spread out shipments  for second quarter and some till end of the year raised prices across the Board , Brazil Asta from Belem for march shipment was traded as high as 2375 FOB Belem and Vietnam Asta 2400/2425 FOB and the most sought after grade 500 gl Asta with tight supplies from farmers in Vietnam traded USD 2375/2385 FOB Hochiminh with further buying interest from East Europe and CIS Destinations . Currently the market looks like have seen the bottom for Vietnam prices already in last week of February contrary to the expectation of happening that in end March/early April.Indonesian new crop was traded during the week at US$ 2450 FOB Panjang for July/August shipments.

continue to keep coverage for near term requirements otherwise will be caught if waiting till last minute to cover as markets are likely to be very volatile with Brazil the alternate source supplies have dried up and the entire importing countries have turned to Vietnam for all sorts of shipment positions.