Vietnam is holding a golden opportunity to dominate the global pepper market, as the tropical country currently makes up 60 per cent of pepper sales in the world, according to the Vietnam Pepper Association (VPA).
Despite the fact that world supply of the product is still less than demand, Vietnam is forecast to maintain its first position in pepper export thanks to the reduction of pepper cultivation area in several countries.
Unfortunately, this year’s weather is inconvenient for pepper cultivation, as a result, black pepper volume for export will be reduced by 10 per cent. The association is searching for material sources from Cambodia and Indonesia to make up for the deficiency.
Advantages of Vietnam’s pepper are its stable quality and output. Since 2002, Vietnam has been maintaining its growth pace in pepper output while many other countries have abated their production due to the low prices of pepper in the world market.
Thus, many international pepper businesses acknowledge today that the smallest movement from Vietnam’s pepper industry impacts the whole world market.
Another positive signal for Vietnam’s pepper industry is the flow of foreign investment it is receiving, in both processing and marketing, which will help Vietnamese businesses sell pepper directly, without intermediaries as they are doing now.
According to VPA President Do Ha Nam, the association has become an official member of the International Pepper Community (IPC), and the 2008 IPC conference will facilitate the country’s pepper export.
To avoid excessive pepper cultivation, the Ministry of Agriculture and Rural Development recommended farmers maintain the current growing acreage of about 50,000 hectares, concentrating on intensive cultivation to increase productivity and quality for 100,000 tons of pepper per year.
At the same time, authorities will collaborate with the VPA to build a trademark for Vietnamese pepper. Chu Se district in central highlands Gia Lai province, the largest pepper growing area of Vietnam, created the first pepper trademark. Other areas in southern provinces of Ba Ria-Vung Tau and Binh Phuoc, and on Phu Quoc island of southern Kien Giang province are also working on their own trademarks.
According to VPA, Vietnam exports pepper to 73 countries and territories in the world with the largest volumes sold to the US, the EU and the Middle East. Last year, the country exported 116,000 tons of pepper, earning over US$190 million. (VNA)
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