Bans imported light pepper from Vietnam, how will the Indian oil industry suffer?

Bans imported light pepper from Vietnam, how will the Indian oil industry suffer?
Bans imported light pepper from Vietnam, how will the Indian oil industry suffer?
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Mr. Lam Hoang Quoc Khoi, market expert of Nedspice Vietnam Spice Processing Co., Ltd. gave such an assessment around the recent proposals from India related to Vietnam’s light black pepper import.

India will lose money if it bans Vietnam's light pepper imports - Photo 1.

The Indian Pepper Growers Association is proposing to investigate whether Vietnamese light black pepper meets the minimum piperine content of 6%.

According to the Vietnam Trade Office in India, the pepper grower association in the southern states of India has asked the Indian Spices Association to quickly investigate whether “light black pepper” – light black pepper (code HS 09041120 ) of Vietnam whether or not to meet the minimum piperine content of 6%.

To protect the interests of Indian farmers, from 2018, the import of Vietnamese pepper with piperine content below 6% will not be allowed.

On 11/8/2020, the Ministry of Industry and Trade of Vietnam also issued a warning that India is capable of tightening standards for imported pepper, especially for Vietnamese pepper.

However, according to Mr. Lam Hoang Quoc Khoi, that was just the proposal of the Indian Pepper Farmers Association, but the Government of India has not made any move.

Light consumption with a high volatile oil but low pepperine is natural. For a long time, India still imported light pepper to distill aromatic essential oils.

India will lose money if it ban imports of Vietnam's light pepper - Photo 2.

Essential oil extracted from black pepper. Illustration

According to Mr. Khoi, if the Government of India forbids or restricts it, it is the aromatic oil distillation industry that will damage and protest first because they do not have light pepper to produce.

At the same time, if the Indian government banned the import of light pepper, Sri Lanka would also strongly object because Sri Lankan people specialized in picking light pepper and sold to India to distill aromatic essential oils.

“Vietnam’s export of light pepper has long been used for export, so if it is banned, it will not cause much influence,” Khoi said.

Mr. Hoang Phuoc Binh – Vice Chairman of the Chu Se Pepper Association (Gia Lai) also agreed to share this view.

India will lose money if it bans Vietnam's light pepper imports - Photo 3.

Light pepper is kind of flat pepper, young pepper just has an outer shell but has not formed seeds inside.

Light pepper is kind of flat pepper, young pepper just has an outer shell but has not formed seeds inside yet. More than 90% of the volatile oil is located in the pepper peel.

To make it easy to imagine, 100kg of old pepper (with seeds) can give 3 liters of aromatic essential oil, but with small pepper (without seeds), 100 kg of pepper can give several tens of liters of essential oil.

According to Binh, India is the leading country in producing and exporting pepper oil. The decision of the Indian Government to limit or ban imports of light pepper is unlikely to happen, and if so, will not cause much impact.

The above content is also shown quite specifically in an article published on The Hindu Business Line page of India – where the initial information about the proposal to check pepperine content in Vietnamese light black pepper was released.

Accordingly, due to the sharp increase in the amount of pepper imported from Vietnam, the Indian Pepper Farmers Association raised their objection.

According to danviet.vn

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