Pepper News Update

WPB Week No 02/13, 07 - 11 Jan 2013

The total export of pepper during the year 2012 is estimated at 253,000 tons valued at US$1.725 billions, which is higher by 1% in quantity and 13% in value, compared to the export achieved during 2011.

BLACK PEPPER
Entering the second week in early 2013, the pepper market seems to be more active. Pepper markets in most of all origin have shown an increasing trend as the domestic and overseas demand is picking up after the long X-Mas and Yearend holidays. Overseas buyers seem to start taking coverage after the long holiday. Pepper futures on Mumbai based NCDEX have shown an increasing trend due to the domestic demand mainly from North of India. When compared to the average prices of last week, February contract has increased by 1%. FOB price also moved up by 1% from average of US$6,893 to US$6,953/ mt. In Lampung, local pepper prices in term of local currency also firmed, however in US$ term, prices have decreased by -1%, due to the Rupiah depreciation against USD currency. In Sarawak, local prices also declined marginally by -1% while FOB recorded an increase of 2% from an average of US$6,440 / mt to US$6,500 mt. In Vietnam, local pepper prices were also reported to be firm at the average of US$5,678/mt. FOB pepper prices for 500g/l and 550g/l were also firmed at the level of US$6,150/mt and US$6,350. In Brazil, it was reported that market was still not very active and it is expected to pick up by next week. January shipment are priced at around US$6,200 / mt.

WHITE PEPPER
In Bangka, Indonesia, local prices of white pepper increased by 1%, while in other origins of Malaysia and Vietnam local prices were reported to be firm. FOB prices in Sarawak, Malaysia gained 2% from the last week average, while in Bangka and HCM City, FOB prices were stable as last week.