Weekly Publications

MARKET REPORT

Market this week showed a negative outlook as no origins were reported with an increase. In local market Malabar black pepper continued its third week being traded negatively as it recorded an average of USD 4,337 per Mt. Thus, recording a 2% deficit as compared with the previous week. Indonesia black pepper was reported with a 2 % deficit as opposed to the previous week averaging at USD 1,752 per Mt. Whilst, Indonesia white pepper was reported stable with an average of USD 3,138 per Mt. Malaysian black and white pepper were reported with a decrease by 1% respectively averaging at USD 1,849 per Mt for black pepper and USD 3,273 per Mt for white pepper. Having been inactive for the past two weeks due to Tet holiday, Viet Nam which is currently in the beginning of the harvest season, traded its black and white pepper at an average of USD 1,635 per Mt and USD 2,411 per Mt respectively. Having experienced a continuous dropped in the past seven weeks; Sri Lanka black pepper this week was reported to be traded steady with an average of USD 2,946 per Mt.

International market was reported with a tendency of being negative. India was reported trading its Malabar black pepper internationally with the same 2% deficit as in the local market at an average of USD 4,617 per Mt. Indonesia black pepper was reported with a deficit by 2% as compared to the previous week with an average of USD 2,172 per Mt. Whilst, Indonesia white pepper was reported stable at an average of USD 3,736 per Mt. 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 to be traded with an average of USD 2,052 per Mt, USD 2,138 per Mt and USD 3,172 per Mt respectively.

China pepper market this week was reported inactive as no offers nor business occurred both locally and internationally.

EXPORT OF PEPPER OLEORESIN FROM INDIA

Pepper oleoresin is one of India's added values of pepper product. Pepper oleoresin is a concentrated, resinous extract obtained by conventional solvent extraction or supercritical fluid extraction. As the name implies, pepper oleoresin consists of a blend of the essential oil, resinous matter of the spice and related compounds like the pungent alkaloid piperine. Pepper oleoresin has a relatively full flavor profile characteristic of pepper as compared to pepper oil.
As the top producers of pepper oleoresin, in 2017 India exported 1,321 Mt of pepper oleoresin. India on average exported a total of 110 Mt per month which peaked in August with 142 Mt. The total revenue of India's export of pepper oleoresin in 2017 was reported to be as high as USD 63.9 Million. Thus, recording an average price of the total pepper oleoresin exported by India at USD 48 per Kg. The highest export price of pepper oleoresin from India in 2017 was recorded in January with USD 59 per Kg whilst the lowest price was recorded in December with USD 41 per Kg.

Year 2018 saw an increase in term of quantity of pepper oleoresin exported by India. India was reported to have exported a total of 1,492 Mt, recording an increase of 13% when compared with 2017. The average export of pepper oleoresin by India in 2018 was reported to be 124 Mt per month which peaked in September with 176 Mt. Although increasing in terms of quantity, India's revenue from pepper oleoresin export was reported to have declined by 12% to a total of USD 56.3 Million as compared to the previous year. Thus, recording an average price of the total pepper oleoresin exported by India at USD 38 per Kg or a decrease by 22% as compared with 2017. The highest export price of pepper oleoresin from India in 2018 was recorded in May with USD 47 per Kg whilst the lowest price was recorded in December with USD 31 per Kg.

As of November 2019, India was reported to have exported a total of 1,405 Mt pepper oleoresin. Thus, recording an increase of 5% when compared to the same period in 2018. By the end of November 2019, the total revenue of pepper oleoresin export by India was reported to have reached USD 43.5 Million, recording a decrease by 15% as compared to the same period in 2018. The average price of the total pepper oleoresin exported by India as of November 2019 was reported at USD 31 per Kg, recording a decrease of 20% as compared to the same period in 2018 and the highest export price of pepper oleoresin was recorded in February with USD 36 per Kg whilst the lowest price was recorded in November with USD 28 per Kg.

Pepper oleoresin from India is widely traded in America, European Countries and Asia. As of November 2019, India's top 5 Country of destinations for its pepper oleoresin were reported to be United States of America with 356 Mt (an increase of 2% as compared with the same period in 2018), Germany with 167 Mt (an increase of 10%), Netherlands with 95 Mt (an increase of 26%), China with 87 Mt (an increase of 13%) and France with 83 Mt (a decrease of 17%).