Vietnamese pepper market holding firm
Commodity broker Amberwood Trading reported that the Vietnamese pepper market is remaining firmer as forecast last week, with an overall increase of about USD100/tonne.
“We observed more reports of trades to the Middle Eastern market, whereas EU and US markets like last week remained relatively idle,” the company explained.
Amberwood Trading has heard that Vietnamese sellers believe the market is going on the same uptrend this week. The local weather remains rainy due to storms and tropical depressions. “This is also negatively influencing the activities at plantations and local warehouses,” the report explained.
The company finds that in the Brazilian pepper market exports are slow due to a shortage of pepper.
“However new crop will begin in a few months, and we hear shippers are expecting a large crop in Pará. Furthermore, in the last two weeks some well wanted rains returned to the Brazilian pepper producing regions, which solidifies the expectancy of a good crop,” it concluded.
Price indications on Brazilian black pepper included B1 grade at USD7,530/tonne fob Belem and B2 grade at USD7,330/tonne fob Belem. Both these are on the basis of October shipment.
Vietnamese BP 500 g/l black pepper of fair, average quality was listed at USD6,900-7,000/tonne fob Ho Chi Minh City for October shipment and BP 500 g/l cleaned at USD7,500-7,600/tonne fob on the same shipment basis.
