Pepper prices have never been so down these days as sharply as this time. Within just 1 month, from the end of August, the price of pepper has continuously decreased to VND 80,000 / kg, far from the peak of VND 170,000 – VND 200,000 / kg as a year ago.
In the other direction, the average export price of pepper in the first 9 months of this year also decreased by 33% to only 5,377 USD / ton. The Vietnam Pepper Association (VPA) has spoken out on the current price of pepper.
Being classified as a power exporter of pepper, pepper also brings “huge” profits to farmers. But things were different when this year pepper prices fell dramatically. At home, the pepper trees are rushed to grow, but the quality is not guaranteed … Many import markets have also “reacted” because Vietnamese pepper has residues of pesticides, plant protection drugs …
Warnings …
In mid-2015, when pepper was at a “golden age” because of its “huge” profits, making it into the top of billion-dollar export crops … the European Spice Association sent a letter to the Ministry of Agriculture and Rural Development warning. Chemical residue in Vietnamese pepper. The warning letter made both pepper growers and businessmen “startled” to look back. In 2016, some European countries continued to warn when discovering the content of Carbendazim fungicides in excess of the permitted limit in the black pepper shipment of Vietnamese enterprises.
According to the results of the EU warning, from the beginning of 2015 to the middle of 2016, there were 17 shipments of Vietnam's pepper that were discovered containing residues of 9 pesticides in excess of the prescribed limits and warning of 3. substances with other high frequency of occurrence. Also in the Japanese market, the authorities of this country have also brought the residue amount of Carbendazim active ingredient in pepper to 0, if this standard is not met, Japan will refuse to import Vietnam pepper.
According to the Vietnam Pepper Association (VPA), the rising price of pepper has brought super-profits to growers in recent years, from 300 million to over 1 billion VND / ha. Therefore, farmers have massively expanded the area.
The statistical area in 2017 doubled compared to 2013, there were 28 provinces and cities growing pepper. The North extends to Quang Binh, Nghe An, Thanh Hoa … The South extends to the mainland of Kien Giang, Ca Mau … The provinces with a sudden increase in pepper area and leading the country are Dak Nong, Dak Lak, Gia Lai, Binh Phuoc … The rapid increase in production, no control, no planning, chasing profits … has pushed Vietnam's pepper as well as many other agricultural products into a difficult position. In order to increase productivity, taking advantage of the time of high selling prices while facing the widespread death and death, many growers have abused pesticides. Since then, resulting in residues of prohibited active ingredients on the product, the import market refused to import goods …
“In the context of high pepper prices, sustainable production will reduce the productivity of pepper gardens by 50-70%, so it is difficult to convince farmers” – Mr. Do Ha Nam, former Chairman VPA, General Director of Intimex shared.
Deputy Minister of Agriculture and Rural Development Tran Thanh Nam also worried that this year, Vietnam's pepper is in a difficult position because importing countries have set up barriers and disadvantages for our pepper. Besides the requirements for pesticide residues, standards of sustainable development, market … also requires more efforts from pepper growers.
Pepper prices “bét”
The trade and export of pepper in recent years have been very busy, the number of enterprises participating in export has increased sharply and expanded everywhere, helping farmers to consume all the products produced and brought to Vietnam. become the leading exporter in the world with over 58% of the world export.
However, due to the rapid increase of the area and the excess of supply and demand, the price of pepper has started to decline sharply from the second half of 2016 until now. There was a time when pepper was bought by traders with a price of nearly 200,000 VND / kg but until the beginning of this year, it was only 80,000 VND / kg.
For export pepper, Vietnam's pepper prices have “plummeted”, leading to a 50% drop in the price of domestic pepper at the last few months. Compared with Indonesia, Malaysia, China … Vietnam black pepper, white pepper are the lowest prices in the export market.
Mr. Do Ha Nam further informed that, although this downward trend is not outside the experts' predictions, it is not possible to predict that the price will have dropped too deeply when forecasting global demand for pepper will remain. increased by 4-5% this year.
According to Mr. Nam, compared with competitors exporting pepper such as India, Malaysia, Indonesia … Vietnam's pepper prices have plummeted and dropped to the “bét” position in the comparison table. In India alone, both domestic and export prices of Malabar black pepper of this country are always double the price of Vietnam pepper (see graphic). Lampung black pepper price of Indonesia and Sarawak of Malaysia were also higher than Vietnam pepper, at USD 6,688 / ton and USD 7,650 / ton in April respectively and reduced to USD 5,410 / ton for Lampung pepper, USD 7,650 / ton. for ASTA pepper in May, while Vietnam's was 4,518 USD / ton.
Domestic pepper prices also dropped to the lowest level in the last 5 years. Since the beginning of April, pepper price has decreased by 50%, from VND 150,000 / kg to approximately VND 80,000 / kg.
According to Ms. Nguyen Mai Oanh – General Secretary of VPA, the price of pepper in the world decreased sharply due to … growing pepper of Vietnam. Specifically, since 2013, Vietnam is the largest pepper producing and exporting country in the world, increasing its planting area rapidly and producing very high yield, 50,000 tons higher than previous years.
According to the table of summarized export prices of Vietnam Pepper Association (VPA), the price of Vietnamese black pepper for export has reached the “bum” position compared to other competitors in the world. Not only that, the price of white pepper (white pepper) also decreased, but Vietnamese products still had lower prices than other countries. In particular, Chinese white pepper costs twice as much as Vietnamese white pepper.
Source Thuan Hai (danviet.vn)
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