Productivity decreased but thanks to rising prices, pepper growers earned 500-600 million VND per hectare for this year’s crop.
Starting from March, pepper growers in Dong Nai, Binh Phuoc, Dak Lak, and Gia Lai enter the harvest season. Compared to last year, pepper prices this year increased dramatically, helping growers make big profits.
At the end of the session on March 13, pepper price reached 95,000 VND per kg, up 36% over the same period last year. This is the highest level in the past 5 years.
Mr. Pham Van Trung in Dong Nai said he had just harvested 3 tons of pepper this season. With a selling price of 95,000 VND per kg, his family can earn nearly 300 million VND. “I just sold about 1 ton of beautiful pepper, the remaining 2 tons are waiting for the price to increase,” he said.
Being bought by traders for 105,000 VND with grade 1 pepper, Ms. Mai Anh said she is very excited because this year has high profits. “Pepper prices are currently up 36% compared to the same period last year. Therefore, with 2 tons of harvest, I earned more than 140 million VND (costs deducted)”, Ms. Mai Anh said.
Black pepper at the garden in the Central Highlands. Image: Minh Anh
According to a report from the Ministry of Agriculture and Rural Development, pepper has recently been one of the commodities with shocking price increases. In February this year, Vietnam’s average pepper export price was estimated at 4,082 USD per ton, up 3% compared to January and 36% over the same period last year.
Explaining the high price of pepper, according to growers, this year’s output is lower than every year because people reduce care. Accordingly, in the golden age, each hectare of pepper yielded 7-8 tons, now the yield is 4-5.5 tons.
Sharing the same opinion, Mr. Pham Trung, a pepper buyer in the Southeast region, said that the supply of this crop decreased while market demand increased, so pepper prices continuously increased in the first 2 months of the year. “Every year, this time I buy a few tons a day, now it’s only a few kilograms because I just started buying and the harvested area is not much,” Mr. Trung said.
Productivity is low, but thanks to rising prices, growers make big profits. Currently, each hectare earns 500-600 million VND. After deducting costs, growers have a profit of about 350-400 million VND per hectare.
Mr. Nguyen Hung – who owns 2 hectares of pepper in Dak Lak – said this year’s pepper crop is the biggest profit after 4 years of losses or breaking even.
Domestically, the price of black pepper in February increased from 10,000-11,000 VND per kg compared to the end of January 2024. Closing the trading session on the commodity exchange on March 12, pepper prices were being sold at 95,000 VND per kg. At growing households, the price of this item is purchased at a higher level, ranging from 96,000 to 105,000 VND.
A report from the Ministry of Industry and Trade estimates that this year’s crop output in Vietnam will decrease by about 10.5% compared to the previous crop, down to 170,000 tons, the lowest level in the last 5 years. While supplies from Indonesia, Brazil, Malaysia, and Cambodia do not sufficiently compensate for the decrease in Vietnam’s exports, pepper prices will increase “hot” right from the beginning of the season.
The Ministry also believes that the global pepper market will be vibrant. Due to seasonal differences, pepper prices continue to stay at a high level. Among countries with large pepper production, Brazil has passed the harvest season, Vietnam has entered the season, while the main harvest of Indonesia and Malaysia is in July every year.
Currently, consumers around the world are willing to pay high prices for high quality pepper. In particular, the markets of the US, EU, Middle East,… increase the need to import products that meet sustainability in social, environmental and economic aspects throughout the supply chain.
According to the Vietnam Pepper and Spice Association, the Vietnamese pepper industry accounts for 40% of output, but 60% of the export market share. Vietnam has been the world leader in pepper production and export for more than 20 years.
Statistics from customs show that in the first 2 months of the year, Vietnam’s pepper exports reached about 35,000 tons, worth 143 million USD, down 12.3% in volume, but up 12.9% in value. Vietnam reduced pepper exports to many traditional markets, such as the US, Philippines, United Arab Emirates, France, China…, but increased exports to Indian, German, and Korean markets. , Older brother
According to VnExpress.net
