Weekly Publications

The market was quiet during the week under review. Except in Sri Lanka, the price of black pepper at most origin decreased. This was mainly due to weak of overseas demand. Buyers were expecting to get lower price. Moreover, pepper harvest in Brazil which is anticipated to be better from last year harvest is now going on. Reliable source in Brazil reported that production of pepper this year is possible to achieve 50.000 Mt, which is 5,000 Mt higher than production volume achieved in 2016. Under this situation, market pressure seems to be there. Trade source in New Jersey reported that FOB price of Brazil Asta black is at the level of US$ 4,200 per Mt for September/October shipment. Royal Golden General Trading reported that FOB price of Basta at the level of US$ 3,750 to 3,850, B1 US$ 3,700-3,800 and B2 US$ 3,600-3,700 per Mt respectively.

In Viet Nam, trading activity was limited. Local price of Vietnamese black pepper prevailed during the week decreased almost daily from VND 91,500 per Kg at the beginning of the week to VND 84,500 per Kg at the weekÔÇÖs close. Local price of white pepper however was reported stable at the level of VND 127,500 per Kg. FOB price of Vietnamese black 550g/l decreased by US$ 200 per Mt to US$ 4,550 at the weekÔÇÖs close. NAMAGRO reported that Vietnamese black pepper price decreased marginally by 1% to US$ 4,358 and US$ 4,445 per Mt for 550 MC and ASTA respectively.

In India, black pepper prices continue to decline although stock of Malabar black from the past harvest in early this year has limited. This was reported due to rising imports from Viet Nam routed through Sri Lanka. In July Viet Nam exported 3,000 Mt and another 2,000 Mt in August to Sri Lanka. Most of these have come to India. In Kochi, price of Malabar ungarbled black fell to around INR 450 per kg this week, a decrease of around 5% from INR 470 per Kg last week and INR 480 in the last two weeks. The price showed a steep decline of over INR 240 per kg from a year ago.

In Indonesia, the market was also quiet and price of black pepper in Lampung decreased by 3% and white pepper price in Bangka decreased by 5% locally. A marginal decrease of 2% was also recorded for black traded locally in Kuching, Sarawak. Local price of Sarawak white was reported stable at MYR 25.34 per Kg. In dollar terms however, a marginal increase was recorded due to strengthening of Malaysian Ringgit against US Dollar.

In Sri Lanka, average local price of black pepper prevailed at growing areas increased by 6% from LKR 658 per Kg last week to LKR 689 per Kg this week.