Market continues to be under pressure as demand slows, the reason why Vietnamese businesses increase imports

Pepper price today, November 4, 2024 in the domestic market is stable in some key localities, trading from 140,000 - 141,000 VND/kg.

Pepper price today November 4, 2024: The market continues to be under pressure as demand slows down, the reason why Vietnamese businesses increase imports. (Source: Shutterstock)

Pepper price today, November 4, 2024 in the domestic market is stable in some key localities, trading from 140,000 - 141,000 VND/kg.

Specifically, pepper price today in Gia Lai is at 140,000 VND/kg.

Pepper prices today in the provinces of Dong Nai (140,000 VND/kg); Dak Lak (141,000 VND/kg); Dak Nong (141,000 VND/kg); Ba Ria - Vung Tau (141,000 VND/kg) and Binh Phuoc (140,000 VND/kg).

Thus, after 2 consecutive days of decline, domestic pepper prices today remained stable in key growing areas. The highest pepper price was at 141,000 VND/kg. In summary, pepper prices lost an average of 2,000 - 2,500 VND/kg.

The market continues to be under pressure as demand slows, while sellers seek to raise capital to invest in coffee, which is currently in harvest season. However, limited supply has helped pepper prices remain 72-76% higher than at the beginning of the year and double the same period last year.

According to preliminary statistics, in the past 10 months alone, businesses spent 108 million USD (equivalent to 2,700 billion VND) to import pepper. Compared to the same period last year, imports of this item increased sharply by 38.2%.

In particular, businesses mainly import pepper from Brazil, Indonesia and Cambodia.

Mr. Phan Minh Thong - Chairman of the Board of Directors of Phuc Sinh Joint Stock Company, said that the Vietnamese pepper industry is benefiting from high export prices due to limited supply.

Accordingly, this year pepper farmers benefited from the high selling price. On the contrary, export enterprises could not buy much domestic pepper. This is also part of the reason why Phuc Sinh had to import a lot of pepper from Brazil and Indonesia this year.

The reason is that, due to the decrease in output, people are holding back pepper for speculation. Along with that, the prolonged drought has made the domestic pepper supply increasingly difficult.

According to experts, Vietnam is about to enter the harvest season with an estimated output of around 170,000 tons, accounting for about 35-40% of the global supply. Therefore, the world pepper price may still fluctuate.

However, the overall pepper supply is still lower than demand, experts say the price of this item is likely to remain good. Cash flow is shifting to coffee, however, information about the delayed harvest has the market worried about medium-term supply.

In the world market, at the end of the most recent trading session, the International Pepper Community (IPC) listed the price of Lampung black pepper (Indonesia) at 6,683 USD/ton, down 0.12%; the price of Brazilian black pepper ASTA 570 at 6,400 USD/ton; the price of Kuching black pepper (Malaysia) ASTA at 8,500 USD/ton.

Muntok white pepper price is 9,150 USD/ton, down 0.11%; Malaysian ASTA white pepper price is at 11,000 USD/ton.

Vietnam black pepper price is traded at 6,500 USD/ton for 500 g/l; 550 g/l at 6,800 USD/ton; white pepper price at 9,500 USD/ton.

Source: https://baoquocte.vn/gia-tieu-hom-nay-4112024-thi-truong-tiep-tuc-chiu-ap-luc-khi-nhu-cau-cham-lai-ly-do-doanh-nghiep-viet-tang-nhap-khau-292490.html