Pepper Market Review Week 41 2024
Pepper market remained moribund during week 41. Global uncertainties cited as the reason for this as importers not keen to add inventories as some people believe the Russia Ukraine and Israel Vs Lebanon Yemen and Iran conflicts may turn out to be 3 rd world war.
Vietnam imported approximately 23750 mts mostly from Brazil Cambodia and Indonesia and exported over 200,000 mts in the first 9 months Cleaning most of the carryover stocks lying in the country making the stock situation very precarious and one should be carefully managing the inventories as the upcoming crop of 2025 in Vietnam does not look promising and our recent visit to the farms in the central highlands we feel the flow of new crop of 2025 will commence only in late March or early April but we do not see a lower production in 2025 and will be more like the 2024 crop of 160,000 mts .Will Brazil and Indonesia in a position to take care of the Global Demands during this period only time will tell.
At close of the week with heavy rains continuing for the 3 rd week in succession in Indonesia and the harvest more or less over there exporters were totally reluctant in offering or even indicating the prices .Brazil was sporadically trading machine dried B1 at 6700 FOB and ASTAat 6750-6800 FOB Vitoria Hard to obtain sun dried B1 and BASTA from Brazil these days. Sri Lanka whose main market is India was stable at US$ 6900 pmt FOB and Indian prices were quoted 8050 Fob Cochin .
Balance stock holders in Vietnam who are mainly local dealers are still hoping for Chinese to step in to reduce their inventories and divert the funds to coffee trading as the coffee harvest is round the corner and one can expect some discounts from collectors who are looking for immediate liquidity to invest in coffee business.
Please call us for your requirements of pesticide compliance Whole Black and White Pepper both natural and Steam Sterilised for October/ November shipment as we feel some special deals can be worked out .
Best Regards
Jojan Malayil
United Spice Co Ltd/ Vietnam
+91 9895 4242 90
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