Domestic pepper prices: Massive decline
As of 11:30 today (October 14), the domestic pepper market has suddenly decreased, averaging 145,900 VND/kg. Currently, the price ranges from 144,500 - 147,000 VND/kg.
Gia Lai province today listed VND 145,500/kg, down VND 1,500/kg. However, this is still the lowest price in the region.
Ho Chi Minh City and Dong Nai have decreased by 2,000 - 3,000 VND/kg, trading at 145,000 VND/kg and 146,000 VND/kg respectively.
Lam Dong and Dak Lak both decreased by VND 1,000/kg, setting the price at VND 147,000/kg.
World pepper prices: Mixed developments
In the world market, pepper prices are mostly stable. In particular, the Indonesian exchange - one of the most vibrant markets - increased slightly. Currently, these two items are traded between 7,233 - 10,091 USD/ton (equivalent to 190,713 VND/kg - 266,070 VND/kg), an increase of 0.03-0.04%.
On the other hand, the Brazilian market moved sideways, staying at 6,200 USD/ton (about 163,476 VND/kg). In the same direction, black and white pepper were stable, trading at 12,500 USD/ton and 9,500 USD/ton, respectively.
In the pepper export market of Vietnam, the price of black pepper of 500 g/l and 550 g/l is stable, anchored at 6,600 - 6,800 USD/ton. ASTA white pepper prices remain high, currently standing at 9,250 USD/ton (equivalent to 243,895 VND/kg).
Assessment and forecast
Domestic pepper prices are often affected by many factors, including:
First, the number of new export orders and international buying trends. If the market becomes vibrant again, domestic prices can be well supported.
Second, if growers and traders continue to push output to the market, prices tend to decrease. On the other hand, depending on weather conditions, farmers can "hoard goods" waiting for higher prices and bringing them to the market.
Third, transportation costs and fluctuations in the USD/VND exchange rate also affect market price range. If logistics costs increase or foreign currency is unfavorable, domestic purchasing power will decrease significantly.
