Despite the low production of black pepper, for the last several months, the market was not picking up due to the import of Vietnamese pepper at a lower price. Now the import prices have increased by $0,37/0,44 per kg just because of loading issues from there, the black pepper market might increase by $ 0,63/ kg.
The price of black pepper which was being sold for $6,42 per kg has gone up to $6,86 per kg and the prices have also increased in the international markets, due to which there is a possibility of further rise. Now importers are not doing new deals. This is the reason why there has been a perception of Kerala pepper might increase to $7,30 per kg. According to the experts due to losses for the last 2 years, the traders had reduced the trade of their goods, on the other hand. On the other hand, there are fewer arrivals.
Traders in domestic markets stated that there will remain continuous consumption of spices till Diwali, and the market will cross the 8$ per kg benchmark anytime. The markets of North India seem to be less affected by the production of black pepper, only the markets were suppressed by foreign goods. Loading from Vietnam is closed as of now and is not expected to open soon in near future.
The old stock of black pepper is very less and the prices are already running in India compared to other countries, that’s why traders are assuming that the market might be more bullish in the coming time and there is no risk in buying pepper at these levels.
Last year, the production of black pepper was 54 thousand metric tonnes, and this time the production estimate is not more than 46-47 thousand tonnes, due to which the possibility of further growth has become more strong.
The Pepper black 550 g/l prices were Recorded at $7,20 per kg FOB.