Vietnam Cassia Cinnamon Inches Higher on Firm Export Interest

Vietnam cassia cinnamon FOB prices in Hanoi are edging higher, supported by steady overseas demand and seasonally wetter conditions in northern growing regions but without major weather stress. Exporters report active interest for Vietnamese cassia splits and cigarettes ahead of year-end buying, while local weather has shifted into a cooler, wetter pattern typical for October, which mainly affects harvest logistics rather than yields.

Prices

Vietnamese cassia grades posted a modest week-on-week uptick. In Hanoi, Cinnamon cassia broken (FOB) is quoted at EUR 2.55, cassia cigarette (FOB) at EUR 5.42, and cassia split (FOB) at EUR 3.10. All three grades are up slightly from early October levels, signaling a firm but not overheated market.

Indian-origin organic cinnamon in New Delhi is also moving higher: cassia powder (FOB) at EUR 5.25, cassias sticks (FOB) at EUR 7.55, Ceylon cinnamon powder (FOB) at EUR 7.45, and Ceylon cinnamon sticks (FOB) at EUR 8.00. The premium of Ceylon over cassia remains consistent with the structural price gap between the two product types highlighted in international market studies.

Supply & Demand

Vietnam remains a key global supplier of cassia cinnamon, with recent export data showing the country among the leading exporters of cassia split under HS 09061100, alongside China. Trade statistics for 2024–2025 indicate robust growth in cassia split shipments, underscoring strong international demand for Vietnamese material.

Importer interest from the US and other major markets has stayed active into late 2026, with customs data pointing to continued inflows of cassia cinnamon from Vietnam among the main suppliers. Downstream, global cinnamon demand is projected to grow further in coming years, supporting a constructive medium-term outlook for both food and beverage applications.

On the origin side, exporters from Vietnam are currently promoting cassia cinnamon at international food fairs, highlighting stable supply and compliance with key market requirements. In parallel, interest in premium Ceylon cinnamon remains firm in regional hubs such as India, where recent trade events reported strong buyer attention to Sri Lankan-origin product.

Weather & Crop Conditions (VN focus)

Key cassia-growing provinces in northern Vietnam such as Yen Bai and neighboring highlands are moving deeper into the wet season. National and provincial forecasts for Yen Bai around 18–20 October show mild to warm temperatures in the mid-20s °C with intermittent showers, typical for this time of year.

These conditions may slow field drying and some harvest logistics but are not currently associated with severe storms or flood events in the core cassia belts. In central Vietnam, including Quang Nam where cinnamon also grows, the rainy season normally peaks from October to December with heavy precipitation in mountainous districts. While localized downpours can disrupt transport, no major weather-related supply shock has been reported over the last few days.

Market Drivers

• Steady export flow from Vietnam: Recent trade data show Vietnam continuing to ship substantial volumes of cassia split and other forms, keeping the global supply pipeline well-filled but not oversupplied.
• Seasonal demand build-up: Buying for year-end consumption in key markets, including confectionery and beverage sectors, is supporting spot and nearby prices for Vietnamese cassia.
• Premium positioning of Ceylon: Ongoing promotional activity for Ceylon cinnamon, especially in India, reinforces the structural price premium over cassia and underpins the higher quotes for Indian-listed Ceylon products.
• Weather normalisation: Typical October rainfall patterns in northern and central Vietnam are influencing harvest pace rather than overall output expectations, limiting weather-driven downside risk on prices for now.

Trading Outlook & 3‑Day View

• For exporters (VN): Consider locking in current FOB levels for cassia broken and split on nearby shipments, as modest firmness and steady overseas demand point to limited downside in the short term.
• For importers: Near-term pullbacks may be shallow; staggered buying on dips rather than waiting for significant corrections appears prudent, especially for higher-value cigarette and split grades.
• For users of premium Ceylon: The sustained premium over cassia and active regional demand suggest maintaining coverage at current Indian FOB levels to avoid potential year-end tightness.

Over the next three days in Vietnam, normal wet-season weather in Yen Bai and other northern cassia areas is expected to keep harvest and drying conditions somewhat slow but manageable. Based on the current balance of firm export interest and seasonal logistics, Hanoi FOB prices for Vietnam cassia broken, cigarette and split are likely to remain stable to slightly firmer in the very short term.