Vietnam Pepper Standard Report Q2/2018

Vietnam Pepper Standard Report Q2/2018

  • August 2018 •
  • 72 pages •
  • Report ID: 5494572 •
  • Format: PDF
Pepper industry is one of the agricultural sectors that make an important contribution to the entire agriculture in Vietnam. Pepper industry in Vietnam has grown too hot in recent years, many households follow the movement has put pepper plantation on the unsuitable soil and lowland that is easily flooded, acid sulfate, poor nutrition. This causes the plant to lose nutritional balance, lose the ability to resist natural.
As a result, pepper plants are susceptible to be attacked by poisonous mushroom, and pepper is contaminated with high levels of chemicals, which makes Vietnamese pepper less competitive and may not be marketed.

By the end of Q1/2018, the central rate was at 22,463 VND/USD, up 0.21% compared to the end of 2017. The VND/USD exchange rate increase was the driving force for Vietnam’s exports in general and export pepper in particular to the US market. Common pepper products in the world market are black pepper and white pepper. Black pepper production still accounts for a large proportion of world pepper production in the range of 80-83%.

Today, pepper, a high-end spice, is the most commonly used spice in the world and plays the leading role (about 34%) in total spice production value traded in the world. It is estimated that by 2017, global pepper consumption would reach xxx,xxx tons, up 2.5% from 2016. Global demand for pepper has been increasing, which makes pepper trade also dynamic. There are over 120 countries importing pepper with about 300,000 tons per year.

According to the latest statistics of the Ministry of Agriculture and Rural Development (MARD), the area of pepper in the country in 2017 is xxx thousand hectares, in which the Central Highlands provinces reached xx.x thousand ha, accounting for 57.5%, the Southeast reached xx.x thousand ha, accounting for 35.7% of the total area of the country. Pepper output in Vietnam has doubled in the past decade with a CAGR of 14.74% between 2009 and 2017, and accounts for 40% of global pepper production. Pepper produced in Vietnam is mainly black pepper, accounting for 85% of total pepper output and 15% of white pepper. Pepper consumption in Vietnam in 2017 is estimated at xx thousand tons, an increase of 3.3% over 2016 and a CAGR of 2.8% between 2011 and 2017. The biggest export markets of Vietnam pepper in the first three months of 2018 was the United States, India, Pakistan and the United Arab Emirates, accounting for 41.4% of the market share.