According to preliminary data reported by the General Department of Vietnam Customs, the cumulative volume of pepper exports in the first 7 months of 2020 reached a total of 184,571 tons of pepper of all kinds, down 15,010 tons, or a decrease of 7.52% compared to the export volume. Export value in the first 7 months of 2019. The value of export turnover in the first 7 months of 2020 reached a total of USD 400.35 million, down USD 109.44 million, or 21.47% lower than the same period.
In terms of pepper importing countries, China is at the lead with the import volume of 37269 tons, down 14472 tons, equivalent to a decrease of 27.97% over the same period last year. China’s demand for pepper imports did not meet expectations, possibly because the country is under great pressure from the second Covid-19 pandemic and natural disasters. In contrast, the US market imported 33402 tons, up 3005 tons, equivalent to an increase of 9.9% over the same period last year. Ranked third is the Indian market with an import volume of 9378 tons, a decrease of 6064 tons, or a decrease of 39.27% compared to 2019.
On the supply side: Brazil, Indonesia are entering the new crop with the remaining stocks, so these two countries are offering much lower prices than Vietnamese pepper. Besides, Brazil’s real currency devalued against USD, leading to the lowest price of Brazilian pepper offered recently.
In Vietnam, the fact that 62 FCL of pepper is stuck in Nepal, India of 15 enterprises has not been solved yet and the bank tightening credit with businesses may be a negative sign for the market. this.
So, before market fluctuations like this, will the pepper market flourish in the coming time?