Black Pepper Prices Are Expected To Increase in India

There was a drop in the Black Pepper price earlier this month and in January, but it has become stable. According to market experts, the scenario is likely to change for the better.

Current Scenario

There was a slight increase in the commodity price last week, and it had been staying stable. The reasons that led to the market getting firm for Black Pepper and its varieties are:

• There is low production of the crop by 8 to 10 per cent than last year.
• The planters and stockists of the commodity are holding onto their stocks. This is in the expectation of the price improving in the future.
• The market became active due to earlier lower prices, which supported the market.
• The import of Black Pepper from Sri Lanka and Vietnam to India has decreased.
• The earlier prices of Black Pepper from these regions were lower than Indian prices, which put pressure on the Indian Black Pepper market.
• New crops have started arriving in the south Indian spot markets and will increase in the coming days.

The Indian Black Pepper is expected to fare well this year due to the low production of Vietnamese pepper. However, other factors like the increase in fertilizer cost and rising labor cost in Vietnam will increase the pepper price in the global market. As a result, both domestic and international buyers are looking towards India instead of Vietnam to fulfil their spice demands.

Prediction

According to reports, the forecast for the 2022 Black Pepper market will be good. This is because of the scarcity of production while increasing demand will support the price.

Furthermore, the freight price increase will also make buyers look towards India and Brazil instead of Vietnam to fulfil the demand. This will eventually move the Indian Black Pepper market trend upward.

 Price Trend

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