Pepper Market Review Week 21 2019admin
Black and white pepper prices in Vietnam closed firmer this week with farmers very reluctant to sell and collectors in turn started giving quotes only and no firm offers at close of business on Friday . Despite this Vietnam Exporters were offering very low prices below Prices quoted for Raw Material to generate activities because of a very quiet market or to keep buyers away because of heavy short position created .
Chinese traders were active from Thursday afternoon and CIS destinations after May Day Holidays become more aggressive and bought for nearby shipments . FAQ Pepper business is vanishing with Chinese and CIS. Destinations now focus only on Machine Cleaned and Asta Cleaned Whole Black .
Indian MG1 Asta pepper traded during the week at 5300/5350 Fob Cochin for June shipments and Indonesia still not showing any eagerness to compete with Vietnam and still Quoting Lasta 2600/2650 Fob Panjang .Brazil for nearby shipments can buy sporadically from 2nd and 3 rd tier
Shippers small quantities according to the information we have from that Origin . USA seems to be covered with low prices picked up by smart grinders whenever they get the right opportunity from aggressive sellers in Vietnam. Global traders are finding it difficult to survive fighting with 165 plus shippers from Vietnam
We expect prices in Vietnam to move up from next week and hence advise coverage for near term and don’t get caught in catch 22 situation.