Vietnam Star Anise FOB Prices Edge Up on Firm Export Demand

Vietnamese star anise FOB prices in Hanoi are holding firm to slightly higher, with a marginal uptick in organic grades and stable conventional offers, supported by steady export demand and a soft but broadly stable VND against the EUR. Vietnam’s key star anise regions in the north are entering the hot, wet mid‑monsoon phase with no acute weather stress in the next few days, allowing normal orchard operations. Export flows to India remain the key demand backbone, while Chinese and Middle Eastern buying is cautious but present. With the dong broadly steady versus major currencies and no major supply shock, the market is consolidating at current levels, leaving short‑term upside limited but downside also well cushioned.

Prices

Indicative FOB Hanoi prices for Vietnamese star anise on 10 July 2026 stand around EUR 7.02/kg for organic product and EUR 7.72/kg for conventional product, with organic grades edging up by roughly 0.3% compared with early June while conventional values have been flat over recent weeks.

Using recent commercial EUR/VND rates around 30,400–30,700, current levels translate to approximately VND 213,000–236,000/kg, leaving Vietnam competitive against alternative origins while still reflecting the premium attached to Lang Son and Cao Bang quality.

Supply & Demand

Vietnam remains the dominant supplier to India, which accounted for about 61% of Vietnamese star anise export volume (5,475 tonnes) in the first five months of the latest reported year, with export revenue down nearly 30% year on year due to weaker prices and slower global spice demand.

Despite this softer macro backdrop, ongoing Indian buying and stable inquiries from China and the Middle East are absorbing current Vietnamese offers, preventing any meaningful price decline. Provincial planning in Lang Son continues to prioritize star anise cultivation and processing, underpinning medium‑term supply capacity even if short‑term farmer selling is currently moderate.

Weather & Crop Conditions (VN)

Key producing zones such as Lang Son and neighboring northern provinces face typical July monsoon conditions: daytime highs mostly in the low 30s °C, high humidity and frequent showers over the coming 3–5 days, but with no forecast of extreme heat or damaging storms.

These conditions support vegetative growth and fruit setting in star anise orchards while allowing field access between showers, so no immediate yield risk is visible. However, persistent humidity raises quality risks during drying and storage, which may support premiums for well‑dried, properly stored lots later in the season.

Fundamentals & FX

On the currency side, recent bank quotes place EUR/VND broadly around 30,000–31,500, and the dong has been relatively stable versus the USD on the informal market during early July, limiting FX‑driven volatility in export prices.

With export volumes to key markets having already adjusted lower from earlier peaks and with no immediate policy or tariff shocks on the horizon, underlying fundamentals point to a balanced to slightly tight near‑term market: stocks at origin are not burdensome, but neither is there a clear shortage signal that would justify a sharp price spike.

3–7 Day Market & Trading Outlook

• For buyers: Consider layering in near‑term coverage at current EUR‑denominated levels, especially for organic grades where a slow grind higher is possible if quality differentials widen during the wet season.
• For sellers: Maintain offer discipline; with demand steady and no immediate oversupply, aggressive discounting appears unnecessary. Prioritize quality control in drying and sorting to capture premiums.
• Risk focus: Watch for any sudden shifts in Indian import demand or logistics disruptions in northern Vietnam, as either could quickly translate into firmer FOB indications.

3‑day directional price view (FOB Hanoi, EUR/kg):

• Organic star anise: 6.95–7.10 (sideways to mildly firm)
• Conventional star anise: 7.65–7.80 (broadly stable)