The pepper price fever and what 'new ground' for the final months of the year

Source: "June 2024 shock" and the turning point of the pepper market Domestic pepper price trend from January 2024 to present (Source: MXV compiled) From the second quarter of 2024, the Vietnamese pepper market entered a strong price increase cycle. According to calculations by the Vietnam Commodity Exchange (MXV), in just the months of May and June, prices soared by over 50,000 VND/kg, reaching a peak in mid-June when it hit 180,000 VND/kg - the highest level in 10 years. According to the Vietnam Pepper and Spice Association (VPSA), domestic pepper prices increased by an average of over 70% in the first half of the year, marking the largest "price shock" in many years. The cause is not just from market psychology, but mainly stems from a global supply shortage. In 2024, many major producing countries such as Vietnam, Brazil, India, and Indonesia saw a simultaneous 10-20% drop in production due to extreme weather. In Brazil, prolonged heavy rains caused many pepper gardens to be ...