Vietnam’s Pepper Prices Stay High With Strong Global Demand

Vietnam’s pepper industry has set a new record, with average export prices reaching their highest level in eight years. According to the Customs Department, Vietnam exported 14,331 tonnes of pepper in February 2025, earning USD 97,3 million. While export volume rose by only 5,4% compared to February 2024, export value jumped by 77,5% thanks to strong prices.

In the first two months of 2025, total exports stood at 27,416 tonnes, down 11,6% year-on-year. Yet, export value surged to USD 184,9 million, a 48,5% increase, reflecting significantly higher prices.

Key Export Markets (Jan–Feb 2025)

China notably increased its import volume by 86,6%, showing renewed buying interest.

Average Pepper Export Price

Vietnam’s average pepper export price in the first two months of 2025 reached USD 6,75 per kg, marking a 68,2% increase from the same period last year. This is the highest recorded price since February 2017.

Global pepper production is projected to decline in 2025. In Vietnam, output is expected to reach 172,000 tonnes, down 2% from last year and 47% below the 2018–2019 level. Factors contributing to the decline include a shrinking cultivation area and poor weather in key regions like India.

Vietnam’s Paper Role in the Global Market

Vietnam currently accounts for about 40% of global pepper production and nearly 55% of export value. With 110,500 hectares under cultivation in 2024 and an average yield of 2,6 tonnes per hectare, Vietnam produced around 200,000 tonnes last year. Total export earnings reached USD 1,32 billion, underscoring the spice’s importance to the country’s economy.

High prices have motivated farmers to store their crop and delay selling during harvest, helping reduce immediate supply pressure. This strategy is boosting farmer incomes and improving overall economic efficiency.

Industry experts continue to emphasize the need for better quality control, expanded global cooperation, and stronger risk management to sustain Vietnam’s leadership in the global spice market.