Weekly Publications

MARKET REPORT

Market this week showed a mixed response. In local market, Malabar black pepper was reported with 1% deficit as compared to the previous week, at an average of USD 4,435 per Mt. Indonesia black pepper was reported with 1% deficit when compared to the previous week, averaging at USD 2,476 per Mt. The decrease of Indonesia black pepper could be contributed to the weakening of Indonesia Rupiah against the US Dollar (IDR 14,136 @ 1 USD) recording 1% depreciation. Whilst, Indonesia white pepper was reported with an increase of 1% when compared to the previous week, averaging at USD 4,209 per Mt. Malaysia black and white pepper were reported with an increase of 2% and 1% respectively as opposed to the previous week, to an average of USD 2,369 per Mt for black pepper and USD 3,844 per Mt for white pepper. Furthermore, Viet Nam black was reported with 2% deficit as opposed to the previous week, averaging at USD 2,208 per Mt. Whilst, Viet Nam white pepper was reported stable, averaging at USD 3,049 per Mt. Sri Lanka black pepper was reported with 2% deficit as compared to the previous week and was traded at an average of USD 2,778 per Mt. China white pepper was reported with 3% deficit as opposed to the previous week and was traded at an average of USD 4,950 per Mt locally.

International market was also reported with a mixed response as India black pepper was reported with the same 1% deficit as compared to the previous week, at an average of USD 4,708 per Mt. Indonesia black pepper was reported with 1% deficit as compared to the previous week, averaging at USD 2,994 per Mt. Whilst, Indonesia white pepper was reported with an increase of 1% when compared to the previous week, averaging at USD 4,925 per Mt. Malaysia black pepper was reported stable and unchanged. Whilst, Malaysia white pepper was reported with an increase of 1% as compared to the previous week, at an average of USD 4,950 per Mt. Furthermore, Viet Nam black pepper 500 g/l, 550 g/l and Viet Nam white pepper were reported with 1% deficit respectively as opposed to the previous week, averaging at USD 2,805 per Mt, USD 2,886 per Mt and USD 4,375 per Mt respectively. China white pepper was reported with 3% deficit when compared to the previous week and was traded at an average of USD 5,150 per Mt.

US market was reported unstable for the past 3 weeks, taking into account the global pandemic.

IMPORT OF PEPPER BY SOUTH KOREA

South Korea, officially the Republic of Korea is a country in East Asia, constituting the southern part of the Korean Peninsula and sharing a land border with North Korea. South Korea actively imports pepper from various pepper producing countries for its domestic consumption or for re-export purpose.

In 2018, South Korea was reported to have imported a total 5,607 Mt of pepper which 91% or 5,086 Mt of it comprised of whole pepper while 9% or 521 Mt of it was ground pepper. The average import of pepper by South Korea in 2018 was reported to be 467 Mt per month with the highest quantity recorded in June with 760 Mt. The total expenditure of pepper import by South Korea in 2018 was reported to be as high as USD 23.0 Million, recording an average price of the total pepper imported by South Korea at USD 4,008 per Mt for whole pepper and USD 5,186 Per Mt for ground pepper.

Year 2019 saw an increasing trend in term of quantity of pepper imported by South Korea. South Korea was reported to have imported a total of 6,567 Mt which 92% or 6,053 Mt of it comprised of whole pepper and 8% or 514 Mt of it was ground pepper. Thus, recording an increase of 17% when compared to the same period in 2018. The average pepper import by South Korea in 2019 was reported at 547 Mt per month which peaked in April with 906 Mt. Although increasing in term of quantity, South Korea's expenditure of pepper import was reported with a decrease of 9% to a total of USD 21.0 Million. Thus, recording an average price of the total pepper imported by South Korea at USD 3,110 per Mt for whole pepper and USD 4,383 per Mt for ground pepper or a decrease by 22% and 15% respectively as compared to 2018.

As of October 2020, Pepper import by South Korea was reported with an increase of 17% as compared to the same period in 2019, totaling at 7,062 Mt which comprised of 90% or 6,349 Mt of whole pepper and 10% or 713 Mt of ground pepper. The total expenditure of pepper import by South Korea as of October 2020 was reported with a decrease of 5% when compared to the same period in the previous year, totaling at USD 20.2 Million. Thus, recording an average price of the total pepper imported by South Korea at USD 2,719 per Mt for whole pepper and USD 4,179 per Mt for ground pepper.

The top five countries of origins of South Korea's pepper as of October 2020 were reported to be Viet Nam with 5,150 Mt (an increase of 7% as compared to the same period in 2019), Indonesia with 1,061 Mt (an increase of 893 Mt), Brazil with 409 Mt (a decrease of 6%), Malaysia with 387 Mt (a decrease of 26%) and India with 29 Mt (a decrease of 33%). The decreased of South Korea's import from Malaysia and India could be contributed to South Korea preference of importing from Viet Nam which offered more competitive price (an increase by 340 Mt as compared to the same period in 2019) and Indonesia (an increase by 893 Mt).