Vietnam’s Pepper Supply Running Low While Export Prices Reach Record Highs

At VGE (VietGlobal Export), we’re seeing unprecedented growth in Vietnam’s pepper industry, and the numbers speak for themselves! In September 2024, the average export price for pepper hit $6,239 per ton—the highest it has been in the past eight years. Thanks to this price surge, Vietnam’s pepper sector reached over $1 billion in export revenue within just nine months.

Record-High Pepper Prices in 2024

According to the latest customs data, Vietnam exported 20,000 tons of pepper in September alone, bringing in $125 million. Compared to the same time last year, the volume of pepper exports increased by 10.4%, but the export value saw an astounding rise of 84.9%. The average export price of pepper surged to $6,239 per ton, marking a 67.5% increase—a record high not seen in nearly a decade.

For the first nine months of 2024, Vietnam exported 203,000 tons of pepper, generating over $1 billion. While the volume of exports decreased by 1.5% compared to last year, the value rose sharply by 46.9%. This strong performance has brought Vietnam’s pepper industry back into the billion-dollar export category after years of decline.

Domestic Pepper Prices Also Rising

Domestically, pepper prices are also on the rise, with average transactions ranging from 147,500 to 149,000 VND per kilogram. The global pepper market has seen prices increase due to unpredictable weather affecting supply and the potential involvement of speculators driving prices higher. Vietnam isn’t alone in this trend—countries like Brazil, Malaysia, and Indonesia have also reported significant price increases for their pepper exports in September 2024.

  • Brazil: On September 18, 2024, Brazil’s black pepper export price jumped by $555 per ton, reaching $7,000 per ton.
  • Malaysia: The export price of black pepper rose by $300 per ton, hitting $8,800 per ton, while white pepper increased by $500 per ton, reaching $10,900 per ton.
  • Indonesia: Black pepper exports rose by $60 per ton, reaching $7,589 per ton, and white pepper increased by $289 per ton, reaching $9,154 per ton.

Vietnam’s own pepper exports are also seeing strong price growth, with 500 gram/liter black pepper now priced at $6,800 per ton, and 550 gram/liter black pepper at $7,100 per ton. White pepper has reached $10,150 per ton, a significant increase of $1,350 per ton compared to the end of August 2024.

Future Outlook: Pepper Supply Challenges Ahead

Looking ahead, the Ministry of Industry and Trade forecasts that pepper prices will likely remain high due to an expected drop in Vietnam’s 2025 harvest. The next harvest season is anticipated to begin in February 2025 and may extend into March and April, which is about 1-2 months later than usual due to prolonged droughts. This delay will further tighten supply, making pepper even more scarce.

In 2023, Vietnam’s total pepper production reached 170,000 tons, but this fell to 160,000 tons in 2024—a dramatic decrease from the peak production of 300,000 tons in 2015. With limited supply and rising demand, Vietnam’s pepper industry is poised to benefit from high export prices for the foreseeable future.

A Growing Demand in Key Markets

Vietnam’s pepper exports are experiencing notable growth across several key markets. During the first eight months of 2024, pepper exports to markets like Germany, the UAE, South Korea, and Pakistan saw triple-digit increases.

In the EU, Vietnam’s pepper is gaining more traction, with exports reaching 24,880 tons in the first seven months of 2024, valued at €112.5 million. This represents a 38.9% increase in volume and a 58.1% increase in value compared to the same period last year.

Tapping Into the Organic Spice Market

While Vietnam’s pepper industry is thriving, there is still room for growth, particularly in the organic spice sector. According to the Vietnam Trade Office in Belgium and the EU, the global organic spice market is expected to grow by 7.5% annually from 2021 to 2026, reaching nearly €20 billion by 2026. Countries like Sweden and the UK are projected to see strong demand for organic spices, and Vietnam has a unique opportunity to tap into this expanding market.

Vietnam’s pepper industry can strengthen its position by focusing on producing organic-certified pepper, which would appeal to health-conscious consumers in markets like the EU.


At VGE (VietGlobal Export), we’re excited about the future of Vietnam’s pepper industry. If you’re interested in sourcing premium Vietnamese pepper, including organic options, contact us today for the latest pricing and insights. Don’t forget to follow us on social media to stay updated on market trends and opportunities in the global spice trade!

Leave a Reply