Vietnam Star Anise FOB Holds Firm as Export Mix Diversifies

Vietnamese star anise FOB prices in Hanoi are holding firm with a mildly bullish bias, supported by steady export demand and stable near‑term weather in key northern growing regions. The physical market is balanced: export volumes remain healthy, trade flows are diversifying beyond Asia, and logistics through northern border gates are functioning smoothly. While overall Vietnamese agricultural exports are surging, star anise is seeing only modest week‑on‑week price gains as buyers watch new‑crop developments in Lang Son and neighboring provinces. With no major weather threats on the immediate horizon and export demand from the Americas and parts of Asia still solid, current price levels appear well underpinned into late September.

Prices

Conventional star anise FOB Hanoi is quoted at 7.65 EUR/mt FOB, unchanged versus the previous quotation, indicating a stable but firm market tone. Organic star anise FOB Hanoi is indicated at 6.85 EUR/mt FOB, up slightly from the most recent prior quote of 6.83 EUR/mt, reflecting a narrow but positive price uptick.

These levels align with reports that Vietnam star anise FOB prices have been edging higher on solid exports to the Americas and steady Asian buying, with exporters describing the market as “well bid” rather than overheated.  

Supply & Demand

Vietnam remains one of the top global star anise suppliers alongside China, with Lang Son alone accounting for a large share of national planted area and output. Recent data from the Vietnam Pepper and Spice Association (VPSA) show star anise exports of around 1,171 tonnes in August 2026, with export value rising versus July despite slightly lower volumes, indicating firm pricing.

Asia is still the dominant outlet, taking roughly three-quarters of shipments, but demand from the Americas and Europe is expanding and now helps offset softer intra-Asian buying. The broader Vietnamese spice sector targets about USD 500 million in 2026 export value from cinnamon, star anise and other spices, within a total spice export ambition of USD 2.2 billion, underlining continued policy and private-sector support for high-value spice chains.

Fundamentals & Weather

VPSA statistics indicate that July and August star anise exports were both near 1,200 tonnes, with August volumes down only marginally from July but achieving higher export value month on month. This pattern suggests that buyers have been willing to accept slightly higher prices to secure supply ahead of key seasonal demand in major consuming markets such as India and the US.

At the macro level, Vietnam’s overall merchandise exports rose more than 22% year on year in the first eight months of 2026, with agricultural, forestry and fishery exports nearing USD 49.3 billion. Within this export-friendly backdrop, new investment into spice processing capacity, including recent funding for value-added spice producer Vipep, is set to strengthen the upstream value chain for products like star anise and improve quality and traceability.

Weather-wise, star anise in Vietnam is concentrated in northern mountainous provinces such as Lang Son and Cao Bang. No major adverse weather events have been reported for these areas over the past few days, and current short-term forecasts point to seasonally typical late-September conditions, supporting normal field operations and fruit development.

Short-Term Outlook & Trading Ideas

Market outlook (next 1–2 weeks)

• Given firm export demand, diversified buying interest beyond Asia and lack of weather-related threats, FOB Hanoi star anise prices are likely to remain stable to slightly firmer in the very near term.
• Upside appears gradual rather than explosive, as exports are strong but not accompanied by major supply shocks; any sharp demand surge from India or the US ahead of peak consumption periods would be the main bullish risk trigger.
• On the downside, a sudden weakening of Asian buying or policy changes affecting border trade with China could weigh on sentiment, but current reports point to orderly cross-border flows.

Trading suggestions

• Exporters in Vietnam: Consider locking in forward sales at current FOB Hanoi levels for part of expected Q4 shipments, while keeping some volume open to benefit from potential incremental gains if diversified demand remains strong.
• Importers in Asia and the Americas: Use the current narrow premium of conventional over organic offers to secure coverage for Q4 and early Q1, as prices appear biased slightly upward but without signs of near-term correction.
• Industrial users and blenders: Monitor VPSA export updates for signs of any acceleration in shipments; if monthly volumes move significantly above recent ~1,200 tonne levels, residual upside in FOB offers could compress quickly.

3-Day Directional Price View (FOB Hanoi)

• Conventional star anise, Vietnam, FOB Hanoi: Bias steady to slightly firmer over the next three trading days, assuming export demand and logistics remain unchanged.
• Organic star anise, Vietnam, FOB Hanoi: Bias steady to slightly firmer, with organic offers likely to track any incremental gains in the conventional segment.