The crop this year has just entered the early days of harvest but has been forced by foreign traders to drive prices down sharply.
Farmers in Cu Kuin district – Dak Lak are harvesting pepper
Pepper Association recommends that farmers keep their stock because pepper prices in the world are still high, while many places are losing crops, including Vietnam.
Price fell sharply
If at the end of the year, the domestic pepper price is still at 170,000 – 180,000 VND / kg depending on the place, from the days close to Tet until now, when farmers start to enter the harvest, the price of pepper has “plummeted” without stopping. reduction of 50,000 – 60,000 VND / kg.
Mr. Le Dinh Thuong has more than 3 hectares of pepper in Tho Loc hamlet, Xuan Tho commune, Xuan Loc district, Dong Nai province, said that until February 13, the price of dried black pepper and buckets of export standard reached only 120,000 VND / kg, down. 60,000 VND / kg compared with the time before Tet.
In Ba Ria – Vung Tau, Mr. Nguyen Thu – Head of Hiep Thanh village, Quang Thanh commune, Chau Duc district also reflected that the price of pepper has decreased continuously for about a month, currently only VND 120,000 / kg.
“In the morning, it was still VND 122,000 / kg, by VND 2,000 / kg by midday, with this momentum dropping further. While I was watching the world news, I saw no decrease, not to mention the Indian pepper price increased by 5%. This is probably because foreign traders find themselves in the harvest so the prices are squeezed. I will persuade people to sell in moderation, and then store it to keep the price ”- Mr. Thu expressed his discontent.
Agreeing with the above opinion, Mr. Hoang Phuoc Binh – Vice Chairman of Chu Se Pepper Association (Gia Lai) said that this year, the pepper of the Central Highlands region will not only fail due to weather and epidemics but also be subject to price pressure. There are also 116,000 – 118,000 VND / kg. Therefore, the Association is also mobilizing people to sell less, where money is needed to sell there rather than dump, sell to store prices.
The state must “command”
According to Mr. Tran Duc Tung – Chief of Office of Vietnam Pepper Association (VPA), pepper price at the trading floor of import markets has always been “made low” to catch Vietnamese goods in the harvest period. Vietnamese businesses are also under pressure from foreign businesses. However, at present, the supply in the world is almost only Vietnam because it is harvesting season.
This year, the Central Highlands is severely affected by natural disasters and epidemics, so the nationwide pepper output in 2014 compared to 2013 is estimated to be equal to or less than (the 2013 output is about 120,000 tons). Meanwhile, Indian pepper has been harvested, other countries have not harvested until May, June so prices on exchanges are still high, over 170,000 VND / kg.
Therefore, according to Mr. Tung, farmers need to be calm, not let foreign enterprises take advantage of the situation and force prices. Because according to experience in 2013, if Vietnam continues to maintain the policy of price stabilization and retain goods, it will win.
However, due to the pressure of repaying the debt of the bank and the previous buying materials still weighed heavily on the shoulders of the farmers, in fact almost 70% of the pepper farmers still sold. “In my commune, almost 80% or even 90% of households have to sell all pepper immediately after harvesting. Because if you do not sell, you will not pay for the debt to buy fertilizer, pesticides … Creditors come to your house demanding very urgently ”- Mr. Nguyen Thu lamented.
According to Mr. Tung, in order for Vietnam pepper industry to be truly proactive in price on the world market, this task must be held by the State and have reasonable policies to support farmers.
“There is no need to spend money on temporary storage like rice or coffee, but only need banks to increase the time for farmers to borrow more than 12 months, not just from 3-6 months now. Because pepper has only one crop a year, the loan period must be at least equal to one growing cycle so that people can endure and store it in their house for 2-3 months after harvest. Only then can it be avoided that the situation of being in the crop is forced by foreign enterprises for a long time, ”suggested Mr. Tung.
According to VPA and enterprises, pepper this year is quite good quality, most of the specialized pepper growing areas have better quality than export standards. However, recently, some Vietnamese orders have been returned by partners due to the contamination of Carbendazim chemical residues from fungicides. Therefore, VPA is advising farmers not to use this substance in cultivation and towards clean production, organic methods for sustainable development.
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