Vietnam Star Anise Prices Hold Steady as Weather Stays Supportive

Vietnamese star anise export prices are broadly stable, with only marginal softening in organic offers and flat conventional quotes FOB Hanoi. Short-term fundamentals look balanced: steady demand from India and China, comfortable exportable stocks and no immediate weather shock in the northern producing regions. Exporters report calm trading conditions, with buyers mostly covering near-term needs rather than extending aggressively into forward positions. India remains a key outlet for Vietnamese star anise, underlining solid structural demand for both culinary and medicinal uses. At the same time, China continues to act as a large and sometimes volatile buyer, but there is no sign of acute procurement pressure this week. Weather forecasts point to seasonally warm, partly wet conditions in northern Vietnam without indications of damaging extremes over the next three days, allowing growers and collectors to maintain normal field and drying operations.

Prices

FOB Hanoi star anise prices in Vietnam are stable week-on-week. Organic whole star anise offers are around EUR 7.00/kg FOB, almost unchanged from the previous update, while conventional material is indicated near EUR 7.65/kg FOB with no movement over the last two weeks. The narrow range and limited volatility reflect a broadly balanced spot market, where neither buyers nor sellers are under strong immediate pressure to adjust prices.

Supply & Demand

Vietnam remains the world’s second-largest star anise exporter, with key production in northern provinces such as Lạng Sơn and Quảng Ninh. Recent official commentary highlights Vietnam’s strong spice export profile and confirms that star anise exports are diversified across India, China, the EU and the Middle East, with India alone absorbing roughly 60% of Vietnam’s anise exports in some recent periods.  This diversified market base helps cushion Vietnamese prices from short-lived demand swings in any single destination.

On the demand side, India’s large and growing consumption for food, pharmaceutical and herbal applications underpins a firm structural pull for Vietnamese star anise. At the same time, Chinese buyers have recently increased spending on certain Vietnamese agricultural products, underscoring China’s role as an important, if sometimes opportunistic, outlet for northern-origin spices. However, there is currently no evidence of a sudden demand spike from either market, which aligns with the observed sideways price action.

Weather & Crop Conditions (VN)

Short-term weather in northern Vietnam, including Hanoi and the key star anise areas further north, is expected to remain seasonally hot with scattered showers and thunderstorms. National forecasts for July 26–28 indicate mainly sunny days with localised showers, followed by increasing thunderstorm activity from the night of July 27, but without warnings of severe or widespread damaging events. These conditions are typical for mid/late July and should allow field maintenance and drying to proceed with only minor disruptions.

Compared with last year’s severe flooding episodes in parts of northern Vietnam, which affected various crops, this week’s outlook is benign. Soil moisture and humidity remain high, but current forecasts do not suggest significant yield losses or post-harvest quality risks in the coming days. Overall, near-term weather is a neutral to slightly supportive factor, limiting downside risk to supply and helping to stabilise current FOB indications.

Fundamentals & Market Drivers

Vietnam’s broader spice sector is enjoying solid export momentum in 2026, as shown by rising pepper export revenues and diversified market reach. While these statistics centre on pepper, they signal resilient overseas demand for Vietnamese spices generally, including star anise. Official communications also emphasise Vietnam’s strong competitive position in global spice exports and ongoing efforts to deepen access to major Asian markets, which indirectly supports confidence in the star anise export pipeline.

On the supply side, there are no fresh reports of major disruptions in the core star anise regions. Planning documents from Lạng Sơn highlight star anise as a strategic crop, with efforts to improve quality and branding over time, which should gradually support higher-value segments (organic, premium whole, low-broken lots). For now, however, the physical market appears well supplied, and the slight softening in organic prices likely reflects routine adjustment rather than a structural shift.

Trading Outlook & 3-Day Price View

• Short-term bias: Sideways. With balanced fundamentals and benign weather, FOB Hanoi prices for both organic and conventional grades are likely to trade within a narrow band around current levels.
• Buyers: Importers in India, China and the EU may continue to execute hand-to-mouth or 1–2 month coverage, as there is no immediate signal of tightness. Consider using any brief dips in organic offers below EUR 7.00/kg FOB as an opportunity to top up premium requirements.
• Sellers: Vietnamese exporters can maintain offer ideas near current levels, focusing on quality differentiation (organic certification, low-broken rates) rather than price cuts. Limited near-term weather risk argues against aggressive discounting.

Over the next three days in region VN, star anise FOB prices are expected to remain broadly stable around EUR 7.00/kg for organic and EUR 7.65/kg for conventional, with only minor intra-day negotiation ranges and no strong directional catalyst visible from weather or demand news.