Weekly Publications

MARKET REPORT

Market this week showed mixed response with a rather positive outlook as only Sri Lanka origin was reported with a decrease. In local market, Malabar black pepper was reported with an increase of 2% as compared to the previous week at an average of USD 4,143 per Mt. Indonesia black and white pepper were reported with significant increase of 12% and 8% respectively as opposed to the previous week averaging at USD 1,930 per Mt for black pepper and USD 3,158 per Mt for white pepper. The increase of Indonesia pepper could be contributed to the increase of demand while the stock were limited as well as the strengthening of Indonesian Rupiah against US Dollar (IDR 14,253 @ USD 1), an appreciation by 3% recorded. Malaysia's black and white peppers were reported with an increase of 2% respectively when compared to the previous week at an average of USD 1,728 per Mt for black pepper and USD 3,101 per Mt for white pepper. Furthermore, Viet Nam black pepper was reported with an increase of 3% as compared to the previous week at an average of USD 2,156 per Mt whilst Viet Nam white pepper was reported stable and unchanged. Sri Lanka black pepper was traded at an average of USD 2,711 per Mt. Thus, recording a 1% deficit as opposed to the previous week. China white pepper was reported with an increase of 1% as compared to the previous week averaging at USD 4,163 per Mt.

International market showed a similar trend as the local market. India black pepper was reported with the same 2% increase as compared to the previous week at an average of USD 4,408 per Mt. Indonesia black and white pepper were reported with significant increase of 11% and 8% respectively as compared to the previous week averaging at USD 2,369 per Mt for black pepper and USD 3,749 per Mt for white pepper. Malaysia black and white pepper continued to be traded stable and unchanged. Viet Nam black pepper 500 g/l, 550 g/l and Viet Nam white pepper were reported with an increase of 4%, 5% and 8% respectively as opposed to the previous week at an average of USD 2,530 per Mt, USD 2,604 per Mt and USD 3,808 per Mt respectively. China white pepper was reported with an increase of 1% as compared to the previous week averaging at USD 4,363 per Mt.

EXPORT OF PEPPER BY UNITED STATES OF AMERICA

The United States of America (USA), commonly known as the United States is a country mostly located in central North America, between Canada and Mexico. Furthermore, United States of America is known as one of the largest pepper importer in the world and actively imports quite a lot of pepper from various pepper producing countries for domestic consumption or for re-export.

In 2018, United States of America was reported to have imported a total of 74,923 Mt which 76% of it comprised of whole pepper. In the following year, United States of America's import of pepper increased by 13%, totaling at 84,312 Mt. The ratio of United States of America's import and export during 2018-March 2020 are 8:1, 11:1 and 9:1 respectively. As of March 2020, United States of America was reported to have imported a total of 17,996 Mt of which 1,920 Mt went for re-export purposes. The top five countries of origins of United States of America pepper both for whole and ground as of March 2020 were reported to be Viet Nam with 11,408 Mt, Brazil with 3,357 Mt, Indonesia with 1,347 Mt, India with 1,262 Mt and Ecuador with 165 Mt.

In 2018, United States of America was reported to have exported a total of 9,290 Mt of pepper from which 49.9% or 4,640 Mt of it comprised of whole pepper and 50.1% or 4,650 Mt of it ground pepper. United States of America on average exported a total of 774 Mt per month in 2018 which peaked in January with 1,043 Mt. The total revenue of United States of America's export of pepper in 2018 was reported to be as high as USD 44.4 Million. Thus, recording the average price of the total pepper exported by United States of America at USD 3,123 per Mt for whole pepper and USD 6,435 per Mt for ground pepper.

Year 2019 saw a decrease in term of quantity of pepper exported by United States of America. United States of America was reported to have exported a total of 7,891 Mt of which 49.8% or 3,928 Mt of it comprised of whole pepper and 50.2% or 3,963 Mt of it ground pepper, recording a decrease of 15% when compared with 2018. The average export of pepper by United States of America in 2019 was reported to be at 658 Mt per month which peaked in November with 844 Mt. In accordance with decreasing in terms of quantity, United States of America's revenue from pepper export was reported with a decrease by 11% as compared to the previous year to a total of USD 39.5 Million. Thus, recording an average price of the total pepper exported by United States of America at USD 3,031 per Mt for whole pepper and USD 6,985 per Mt for ground pepper or a decrease by 3% for whole pepper and an increase of 9% for ground pepper as compared to 2018.

As of March 2020, United States of America was reported to have exported a total of 1,920 Mt which 45% or 867 Mt of it comprised of whole pepper and 55% or 1,053 Mt of it ground pepper. Thus, recording a decrease of 7% when compared to the same period in 2019. As of March 2020, the total revenue of pepper export by United States of America was reported to have reached USD 9.7 Million, recording a decrease by 8% as compared to the same period in 2019. The average price of the total pepper exported by United States of America as of March 2020 was reported at USD 3,288 per Mt for whole pepper and USD 6,544 per Mt for ground pepper.

Pepper from United States of America is widely traded in America, Asia and European countries. As of March 2020, United States of America's top 5 Country of destinations for its pepper were reported to be Canada with 1,095 Mt (a decrease of 3% as compared to the same period in 2019), South Korea with 145 Mt (an increase of 121 Mt), Mexico with 136 Mt (a decrease of 36%), United Kingdom with 68 Mt (a decrease of 16%) and Kuwait with 43 Mt (a decrease of 0.3%).