Focus on building the pepper value chain

In the context of the global pepper industry is facing many challenges in price, the market plummeted, International Pepper Association (IPC) held the 47th International Pepper Conference.

The purpose of the conference is to discuss “hot” solutions and focus on building a sustainable global pepper value chain.

Deputy Minister of Agriculture and Rural Development Le Quoc Doanh and delegates attending the conference

Domestic and foreign enterprises have focused on discussing issues related to improving the quality of pepper production, processing and trade, meeting more requirements of the global pepper market.

According to the Vietnam Pepper Association (VPA), Vietnam is still the largest pepper producing and exporting country in the world with an export volume of nearly 250,000 tons, accounting for 40% of global production. Pepper is currently grown mainly in the provinces of Binh Phuoc, Gia Lai, Dak Lak, Dak Nong, BR-VT, Dong Nai, Quang Tri and Phu Quoc, creating livelihoods for nearly 200,000 farmers in the Central Highlands and the region. Male.

Up to now, pepper processing capacity of Vietnam has also improved significantly. Vietnam's pepper processing technology has approached the standards of the world market in general. A number of businesses have built high-tech processing plants, processed products through steam, sterilized, vacuumed bags, ensuring food hygiene and safety, according to international standards, creating diverse products. Black, white, whole pepper, powdered, packed.

However, not only Vietnam's pepper industry but also the international pepper industry are facing many challenges of quality, new regulations on food safety standards of importing countries that require businesses Industry needs to change quickly to meet the new requirements of the international market. At the same time, the world price of pepper has continuously decreased from USD 10 / kg in 2015 to USD 2 / kg in 2019 due to the rapid increase of the pepper growing area in the period 2008 – 2014.

Speaking at the conference, Mr. Le Quoc Doanh, Deputy Minister of Agriculture and Rural Development, emphasized: “Vietnam is currently the largest pepper producing and exporting country in the world, with an export output of 250,000 tons. accounting for 40% of global production. In fact, the demand for pepper products in the world is still very large. In addition to using pepper as a spice in food, pepper is also used in health care, cosmetics and medicine. ”

Mr. Le Tuan Quoc, Vice Chairman of the People's Committee of BR-VT also said that up to now, the BR-VT province continues to identify pepper as one of the key crops of the province with a planned area of ​​12,600ha. develop pepper towards organic, ensure moderate productivity, high quality associated with VietGAP certification.

According to Mr. Quoc, in order to promote the brand and quality of pepper, BR-VT province has built a trademark and geographical indication of the province. To date, BR-VT has 1,225ha with 1,165 pepper-growing households that have been granted SAN and GlobalGAP standards.

The pepper model has developed well by applying technology

In the coming time, BR-VT province will continue to promote production linkages; promote information and propaganda for farmers to produce in the right process, large-scale goods; increase the area to increase the competitive advantage of the industry, ensuring sustainable and stable development.

According to VPA, the 47th International Pepper Conference took place in the context of pepper production and trading in the world being affected by many unfavorable factors, such as continuously falling pepper prices, financial crisis. global, climate change abnormalities and uncontrolled pests and diseases, consumer tastes increasingly towards quality products and ensure standards and safety. Products. While production costs are rising, prices are unpredictable. It is these factors that have been destabilizing the production and business of the global pepper industry.

Mr. Nguyen Nam Hai, Chairman of Vietnam Pepper Association said: “In order to make a big and vital direction for Vietnam's pepper industry in the coming time, the key issue is the need to set a price. value of sustainable pepper production on the basis of linkage, in which there are two important links that production in the field and processing in the factory must be modernized at the request of import markets, especially necessary. pay attention to food safety and hygiene ”.

According to Mr. Hai, up to now most of processing plants have achieved good processing practice standards (GMP) and many international standards for food processing plants. Despite many successes compared to previous years, the value provided by Vietnam Pepper is still not commensurate with its potential.

Ms. Hoang Thi Lien, Executive Director of IPC International Pepper Association said: “Vietnam's pepper production is in the period of highest production ever, due to the expansion of the area in previous years. . Vietnam's pepper export output is also high, as 97% of Vietnam's pepper is used for export processing ”.

According to Ms. Lien, as well as Vietnam, global supply will maintain the momentum until at least 2020. However, pepper production and trading are increasingly difficult due to safety regulations. Food of import markets is increasingly tightening, while market prices tend to fall. Moreover, the value chain of pepper production in Vietnam is still quite loose, the development model of production linkage consumption is still difficult.

Vietnam's pepper production is in the period of highest production ever

Also at this conference, opinions of many IPC member delegates also shared that Vietnam's pepper industry should not increase the area, it should focus on sustainable farming in the area with natural conditions, suitable land, convenient for water sources, maintaining production. Focusing on developing pepper industry towards sustainability, ensuring FHS. Promote agricultural extension to improve farmers' qualifications, care, harvest, and processing of pepper, ensuring the quality of pepper raw materials for processing and export. Step by step build brands, indication of origin … according to market requirements, especially high-end markets with added value; promote national trade promotion program to maintain and develop stronger export capacity …