Weekly Publications

MARKET REPORT

This week market continued to show mixed responses with Indonesia and Sri Lanka experienced slight deficit. At the local level, Indian pepper were traded 3% higher than the previous week averaging at USD 4,688 per Mt. The increase in Indian price could be contributed to the increase of price in the local currency which at an average of INR 326 per Kg, as well as the strengthening of INR towards US Dollar. In Indonesia, price of Lampung black pepper and Muntok white pepper were reported to have experienced the same slight 1% deficit as compared to the previous week and were traded at an average of USD 2,101 per Mt and USD 3,480 per Mt respectively. Malaysian origins continued to record a stable movement of its black and white pepper which averaging at USD 2,291 per Mt and USD 3,854 per Mt respectively. Viet Nam black pepper was traded 1% higher than the previous week whilst Viet Nam white pepper remained unchanged. Sri Lanka was reported to have recorded the same 1% deficit like Indonesia. Sri Lankan black pepper was traded at an average of USD 3,387 per Mt. The price decline of black pepper Sri Lanka was due to the price decline in local currency where it was traded at an average of LKR 605.21 per Kg. China white pepper was reported to have experienced a slight loss at the end of the week and was traded at USD 4,500 per Mt losing USD 25 per Mt when compared to the beginning of the week.

The international market followed the same trend as the local market with Indonesia being the only origin which recorded a decrease. FOB price of Indian black pepper experienced an increase of 3% as compared to the previous week and was traded at an average of USD 4,975 per Mt. Both Lampung black pepper and Muntok white pepper from Indonesia experienced a 1% deficit when compared to the previous week. Malaysian black and white pepper were traded stable at an average of USD 3,025 per Mt and USD 4,588 per Mt respectively. Viet Nam was reported to record 2% increase for its black pepper 500 g/l and white pepper at an average of USD 2,175 per Mt and USD 3,475 per Mt respectively. Whilst its black pepper 550 g/l was traded stable. FOB price of China white pepper was reported to experience the same USD 25 per Mt loss when comparing the opening to the end of the week and it was traded at an average of USD 4,713 per Mt.

US market continued flat and price remained unchanged.

EXPORT OF PEPPER BY THAILAND:

Thailand known as one of pepper producing countries, contributes a minor portion of the world pepper export. In the past three years pepper export by Thailand had fluctuated quite significantly. Furthermore, Thailand had shifted from mainly shipping whole pepper to becoming a supplier of ground pepper to its importer partners in the world.

In 2016, Thailand was reported to have exported a total of 322,081 Kg of pepper of which 66% was in the form of whole pepper amounted to 211,985 Kg. Furthermore, Thailand banked a total revenue from pepper export as high as USD 1,63 Million which resulted to an average price of the total pepper exported by Thailand at USD 3.69 per Kg for whole pepper and USD 7.73 per Kg for ground pepper.

2017 saw the shift of preference of pepper exported by Thailand. With total exported pepper reaching 278,351 Kg, 61% of it was in the form of ground pepper which amounted to 170,070 Kg. The total pepper exported by Thailand in 2017 recording a decrease of 14% when compared to the previous year. The interest of ground pepper from Thailand was reported to increase by 54% when compared to total export of ground pepper in 2016. Thailand recorded a slight increase of the total revenue of pepper export by 2% which reached USD 1.67 Million. Thus, recording an average price of the total pepper exported by Thailand at USD 5.58 per Kg for whole pepper and USD 6.27 for ground pepper.

For the period of 2018, Thailand recorded a spike of 50% increase of the total pepper exported when compared to 2017 which reached as high as 417,935 Kg. The pepper exported in 2018 by Thailand 83% of it comprised of ground pepper which amounted to 347,365 Kg while 70,570 Kg of it was in the form of ground pepper. Thailand was also reported to have recorded an increase In term of pepper export revenue which reached a staggering 137% increase when compared to the previous year. With the total revenue of export pepper in 2018 amounted to USD 3.95 Million, Thailand recorded an average price of the total pepper exported at USD 14.01 per Kg for whole pepper and USD 8.53 for ground pepper.

Thailand export of pepper in 2018 spread out to over 35 countries in the world. The top 10 importers of Thailand pepper were South Africa with 130,156 Kg, United States of America (72,727 Kg), Australia (24,421 Kg), Viet Nam (22,398 Kg), Netherlands (20,963 Kg), Cambodia (18,085), New Zealand (17,147 Kg), Germany (12,740 Kg), Denmark (12,498 Kg) and Republic of Korea with 8,974 Kg.