While most other agricultural products decreased in selling price, pepper exports in 2012 continued to win when the turnover increased by nearly 10% and the selling price increased by nearly 16%. However, our country’s pepper industry is facing a continuous decline in harvested output.
According to the Ministry of Agriculture and Rural Development, the export volume of pepper in 2012 reached 118,000 tons with a turnover of 802 million USD, down 4.3% in volume but up 9.6% in value compared to 2011. Price average export pepper in 11 months reached 6,792 USD/ton, up 15.8% over the previous year. The largest pepper import markets of Vietnam are still the United States with 14.7% market share, Germany with 10.1% and the United Arab Emirates with 8.48%.
Although just joining the export market, Vietnam has for many years maintained the number one position in the world, accounting for over 50% of pepper trading volume in the world market. Up to now, Vietnamese pepper has captured market share in more than 80 countries and territories. Pepper exports to most markets had positive growth, of which the strongest growth was Singapore with 105.68%, Kuwait by 78.67%, Canada by 76.9%, Australia by 71.5%, Italy up 67.17%…
Pepper is a rare agricultural export commodity that has increased in price in the current difficult economic context. The Vietnam Pepper Association (VPA) said that normally, each cycle of price fluctuations of world pepper is about 3-5 years, that is, every 2-3 years the price increases, there will be 2 years of price decrease.
However, for the past 6 years continuously, the selling price of pepper in the country next year is always higher than the previous year. Specifically, the average domestic pepper price in 2009 was 30,000 VND/kg, in 2010 it was 50,000 VND/kg, in 2011 it was 120,000 VND/kg and in 2012 it was 130,000 VND/kg.
Mr. Do Ha Nam, President of VPA said that now pepper growers did not sell when the price was too low, but kept waiting for the price to reach a unified level before selling. Many large pepper growers subscribe to news agencies, equipped with the internet to grasp daily market fluctuations.
Pepper accounts for only 2.5% of the total area of nearly 2 million hectares of 5 industrial crops in our country, but accounts for over 8% of export value. The economic value of pepper is currently about 6,800 USD/ha/year, 4 times higher than rubber; 8 times more cashews; 2.6 times more coffee; 6 times more tea. Each hectare of pepper can earn 200-250 million VND/year. In 2011, our country harvested 125 thousand tons of pepper, but in 2012 the output was only 115 thousand tons. Currently, the pepper industry is facing the paradox that the area increased but the harvested output decreased.
According to the Department of Crop Production (Ministry of Agriculture and Rural Development), the pepper area continuously increases year by year: in 1995, the total pepper growing area in the country was only 7,000 hectares, in 2010 it increased to 50,000 hectares, in 2011 it reached 55,400 hectares and in 2012 jumped to 57,500 ha. While the national pepper plan only stops at 50,000 hectares. Because pepper cultivation is earning super profits, farmers in many places defy recommendations to expand pepper growing areas. More worrying is that pepper varieties of unknown origin can lead to the spread of diseases, causing great damage.
According to a recent survey by the Department of Crop Production, the average yield of pepper decreased to only 2.4 tons/ha compared to 2010 and reached 3-3.5 tons/ha. Dong Nai is the province with the most additional planting area, an increase of about 1,000 hectares compared to 2011 but the yield decreased from 20.1 quintals/ha in 2011 to 14.6 quintals/ha in 2012.
In Ba Ria-Vung Tau, the average yield also decreased by 1.4 quintals/ha, to only 17.2 quintals/ha. Of the six main pepper growing provinces of Vietnam, Gia Lai, Dak Nong, Dak Lak, Binh Phuoc, Dong Nai, Ba Ria-Vung Tau, only Binh Phuoc has an increase in pepper productivity from 28.5 quintals/ha to 30.7 quintals/ha.
According to the International Pepper Community (IPC), it is expected that global pepper production in 2013 will reach 319,000 tons, down sharply from 327,000 tons in 2012. That is the driving force for pepper prices to continue to increase.
Despite the rapid growth in turnover, pepper turnover is still modest compared to coffee, rubber, rice, including cashew kernels. In order for the pepper industry to develop sustainably and achieve an export turnover of 1 billion USD in the coming years, VPA said that the Ministry of Agriculture and Rural Development needs to review the planning and set targets for pepper development in the coming years. next 5-10 years.
It is necessary to establish a Sub-Institute specializing in researching, transferring and selling patent products on technologies applied to pepper such as seeds, fertilizers, plant protection drugs, machinery, processing technology and equipment. At the same time, it is necessary to make strategic investments in infrastructure such as financial support of 30-50% or even 100% of the value of facilities and equipment for cooperatives, or farmer associations, growers and processors. pepper.
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