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| Vietnam’s pepper exports rebound strongly despite supply and shipping challenges. (Illustrative photo: VNA) |
Hanoi (VNA) – Vietnam’s pepper exports posted robust gains in March, with sharp increases in both volume and value signalling a solid industry rebound early this year, even as supply constraints and global logistics disruptions continue to pose risks.
Data from the Vietnam Pepper and Spice Association (VPSA) showed the country exported 30,638 tonnes of pepper in March, comprising 26,190 tonnes of black pepper and 4,448 tonnes of white pepper.
Export revenue reached 199.3 million USD, including 167.3 million USD from black pepper and 32 million USD from white pepper. Shipments surged 119.3% from February and rose 51.3% compared with the same period last year.
Export prices remained elevated overall, averaging 6,520 USD per tonne for black pepper and 8,735 USD per tonne for white pepper. While black pepper prices slipped slightly by 0.7% month-on-month, white pepper prices edged up 1%, reflecting diverging trends across product segments within a generally firm market.
The US and China maintained their positions as Vietnam’s largest buyers, importing 8,059 tonnes and 3,663 tonnes respectively. Exports to the US jumped 121% from the previous month, while shipments to China soared 134.7%. Other markets also recorded exceptional growth, including Egypt, the Netherlands, Canada and the Philippines, each posting triple-digit increases.
In the first quarter of 2026, Vietnam exported 66,350 tonnes of pepper worth 430 million USD, up 39.2% in volume and 31.7% in value year-on-year, underscoring strong export momentum from the outset of the year.
On the import side, Vietnam also recorded a sharp rise as businesses boosted purchases for processing and re-export amid tightening domestic supply. March imports reached 10,313 tonnes, up 66.2% from February and 108.8% year-on-year. In the first three months, imports totalled 21,201 tonnes valued at 121 million USD, a year-on-year increase of 118.9%.
Cambodia remained Vietnam’s largest supplier, accounting for 55.1% of imports, followed by Brazil and Indonesia.
Despite strong export results, the VPSA warned of growing supply-demand imbalances. The 2026 harvest is projected at 170,000–180,000 tonnes, down 15–20% from the previous crop due to unfavourable weather and ageing plantations. Tight supply has pushed domestic pepper prices to around 140,000–150,000 VND (5.32-5.69 USD) per kilogram.
Replanting efforts remain limited as farmers shift toward higher-value crops and land availability shrinks. Globally, pepper output in 2026 is expected to reach about 530,000 tonnes, slightly higher than last year but still below 2024 levels, while demand remains strong.
Meanwhile, exporters are grappling with mounting logistics pressures linked to escalating tensions in the Middle East, which have driven shipping costs up three to four times. The closure of the Strait of Hormuz to commercial container traffic has disrupted major shipping routes, forcing carriers to suspend operations and causing severe congestion at key transshipment hubs such as Jebel Ali and ports in Bahrain and Oman.
With the Middle East accounting for roughly 15% of Vietnam’s pepper export turnover and serving as a vital logistics gateway, some exporters have temporarily halted new orders to minimise risks related to rising costs and delivery delays. Prolonged disruptions could weigh on the sector’s export growth outlook for 2026./.
