Black Pepper Black Pepper Prices Heat Up Amidst Production Woes - A Peppery Resurgence As India's Spice Frontier Blooms Again

Indian Domestic Black Pepper Market Is Under Threat

Mintec Global
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Shipments of black pepper from Vietnam and Brazil entering the Indian vial Myanmar border puts the spice’s domestic growers and market under threat.

Current Scenario

The pepper farming community has sought the urgent intervention of the Central government to curb all illegal imports.

The Kerala chapter of the Indian Pepper and Spice Traders, Growers, Planters Consortium reported that the Customs seized many black pepper containers imported from Vietnam and Brazil. The containers were declared to be of plastic films, paper, etc.

Such shipments have also arrived in producing centers such as Kerala and Karnataka.

The illegally imported spice is flooding the markets of Delhi, Mumbai, Indore, Jaipur, etc., resulting in a decline in the prices of domestic produce.

A memorandum has been submitted by the Consortium to the visiting Commerce Minister Piyush Goyal, highlighting various demands and Prime Minister’s slogan ‘Vocal for Local,’ thus urging the government to protect the domestic pepper growers and traders.

It is pointed out that EOUs and SEZs are permitted to send out imported pepper for processing and as part of value addition and re-exports. However, it is widely alleged by the pepper farming community that this imported stuff enters the domestic market, hitting the interests of domestic growers.

The Consortium urged the government that the DGFT should issue duty-free import licenses only to those with pepper turnover and registered number of Spices Board.

Future

The price of black pepper is expected to improve temporarily with the lack of rain currently. But as soon as the monsoon starts, the price will drop for the spice.

Price Trend

Black Pepper 500 GL

Date Price
June 02 – 08$7,55 per kg FOB
May 31$7,60 per kg FOB