WPB Week No 42/12, 15 - 19 October 2012 BLACK PEPPER India, Sri Lanka, Brazil Indonesia, Vietnam

WPB Week No 42/12, 15 - 19 October 2012 BLACK PEPPER The price remained firm with limited activity. However price decreases were recorded in some source during the week. In India, The market remained calm, with limited activities as reflected in the volume of trade recorded in the Commodity Exchange. Average prices of Malabar, Sarawak and Sri Lankan black were relatively stable, with a slight decrease in the mid of the week. In Lampung, major portion of pepper harvested this year has been released, as reflected by significant increase in the volume of export from Lampung during the last three months. Local price of black pepper in Lampung experienced a marginal decrease this week. Price decrease was also recorded in Vietnam both in local as well as in fob. It was reported that Brazilian pepper crop this year would be much lower than estimated earlier. Smaller crop in June/July in Espirito Santo has already confirmed the decrease. In Para, pepper harvest is almost competed. It was reported that the harvest period is very short this year. This indicates the quantity of pepper produced this year is small. Prices in Brazil remained steady. Growers were not interested to sell at reduced prices, in view of smaller output. WHITE PEPPER Pepper prices in Bangka, Sarawak and Vietnam decreased marginally, except local price of Sarawak, which is reported stable. EXPORT OF PEPPER FROM INDONESIA Indonesia has become the second largest pepper producing and exporting country in the world. Black pepper is mostly produced in Lampung, while white pepper in Bangka. Kalimantan and Sulawesi are also producing black and white pepper. Around 90% of black pepper exported by Indonesia was shipped from Lampung port. Due to the favorable weather condition during flowering, fruiting till ripening season, production of pepper in Lampung, which is harvested in July-August 2012, is reportedly much better than production in 2011. This was confirmed by the significant increase in the volume of export from Lampung port during the last three months. During January – September 2012, total export of black pepper from Lampung was 26,800 mt, as against 18,200 mt in the corresponding period last year. Out of this 18,500 mt was exported in July- September. Up to December 2012 around 35,000 mt of black pepper export from Lampung is expected to be achieved.