Weekly Publications

MARKET REPORT

Similar to the previous week, business hasn't picked up following the impact of the outbreak of Corona Virus. Market this week showed a mixed response with negative outlook as only China origin recorded an increase. In local market, as the harvest come to full swing Malabar black pepper was traded with a 4% deficit as compared to the previous week averaging at USD 4,046 per Mt. Indonesia black and white pepper were reported with a 4% and 2% deficit respectively when compared to the previous week at an average of USD 1,624 per Mt for black pepper and USD 3,005 per Mt for white pepper. The decrease of Indonesia black and white pepper could be contributed to the weakening of Indonesian Rupiah against US Dollar (2% depreciation to an average of IDR 14,476 @ USD 1). Malaysian black and white pepper were also traded domestically with a decrease of 1% respectively as opposed to the previous week, averaging at USD 1,745 per Mt for black pepper and USD 3,131 per Mt for white pepper. Furthermore, Viet Nam black pepper was reported with 1% deficit as compared to the previous week averaging at USD 1,619 per Mt whilst Viet Nam white pepper was reported stable with an average of USD 2,411 per Mt. Sri Lanka black pepper was traded with 2% deficit as opposed to the previous week at an average of USD 2,882 per Mt. Contrary to other origins, China white pepper was reported with an increase of 1% when compared to the previous week and traded its white pepper at an average of USD 4,200 per Mt locally as business in China started to gradually resume back.

International market also showed a mixed response as only China recorded an increase. India was reported trading its Malabar black pepper internationally with the same 4% deficit as compared to the previous week at an average of USD 4,317 per Mt. Indonesia black and white pepper were reported with a 3% and 2% deficit respectively as compared to the previous week, averaging at USD 2,017 per Mt for black pepper and USD 3,575 per Mt for white pepper. Malaysia black and white pepper continued to be traded stable and unchanged. Furthermore, Viet Nam black pepper 500 g/l, 550 g/l and Viet Nam white pepper were reported stable at an average of USD 2,120 per Mt, USD 2,220 per Mt and USD 3,220 per Mt respectively. China reported to be trading its white pepper internationally with an increase of 1% as compared to the previous week at an average of USD 4,400 per Mt.

IMPORT OF PEPPER BY SWITZERLAND

Switzerland, officially the Swiss Confederation, is a country situated in the confluence of western, central and southern Europe. Switzerland is a landlocked country bordered by Italy, France, Germany, Austria and Liechtenstein. Switzerland was reported to actively import pepper from other pepper producing countries for the purpose of domestic consumption as well as the industry.

In 2017, Switzerland was reported to have imported a total of 863 Mt of pepper which 54% or 468 Mt of it comprised of whole pepper while 46% or 395 Mt of it was ground pepper. The average import by Switzerland in 2017 was reported to be 72 Mt per month with the highest quantity recorded in August with 97 Mt. The total expenditure of pepper import by Switzerland was reported to be as high as USD 9.7 Million, recording an average price of the total pepper imported by Switzerland at USD 10,866 per Mt for whole pepper and USD 11,894 per Mt for ground pepper.

Year 2018 saw an increasing trend in term of quantity of pepper imported by Switzerland. Switzerland was reported to have imported a total of 931 Mt which 49% or 457 Mt of it comprised of whole pepper and 51% or 474 Mt of ground pepper, recording an increase of 8% as compared to the same period in 2017. On average Switzerland was reported to have imported 78 Mt per month which peaked in May with 109 Mt. Although increasing in term of quantity, Switzerland's expenditure for pepper import was reported to have declined by 15% to a total of USD 8.2 Million, recording an average price of the total pepper imported by Switzerland at USD 9,050 per Mt for whole pepper and USD 8,773 per Mt for ground pepper or a decrease by 17% and 26% respectively as compared with 2017.

Pepper import by Switzerland in 2019 was reported with an increase by 8% as compared to 2019, totaling at 1,004 Mt which comprised of 50% or 500 Mt of whole pepper and 50% or 504 Mt of ground pepper. The average import by Switzerland in 2019 was reported to be 84 Mt per month with the highest quantity recorded in May with 107 Mt. Although increasing in term of quantity, the total expenditure of pepper import by Switzerland in 2019 was reported to decline by 13% as compared to the previous year, totaling at USD 7.2 Million. Thus, recording an average price of the total pepper imported by Switzerland at USD 7,728 per Mt for whole pepper and USD 6,735 per Mt for ground pepper or a decrease by 15% and 23% respectively as compared with 2018.

The top five countries of origins of Switzerland's pepper in 2019 were reported to be Viet Nam with 242 Mt (an increase of 16% as compared with 2018), Germany with 215 Mt (an increase of 5%), Brazil with 184 Mt (an increase of 15%), India with 76 Mt (an increase of 7%) and Indonesia with 71 Mt (a decrease of 16%). The decrease of Switzerland import from Indonesia could be contributed that Switzerland started to shift import to other origins country such as Viet Nam (an increase by 34 Mt as compared to 2018).