Black Pepper from Vietnam

History

Black pepper cultivation expanded rapidly in Vietnam in the late 1990s and early 2000s. Initial efforts focused on diversifying cash crops post-Doi Moi reforms. With support from government and private exporters, pepper became a key foreign exchange earner by the 2010s.

Production Regions

• Dak Lak Province: Largest producer, favored for rich basaltic soils.
• Gia Lai Province: Strong output, especially in districts like Chu Se.
• Dak Nong Province: Rapid expansion due to pepper replacing coffee in some areas.
• Ba Ria – Vung Tau: Coastal zone with high-quality output and good infrastructure.
• Binh Phuoc Province: Diversified farms with pepper intercropped with fruit and rubber.

Growing Conditions

• Altitude: 300 to 800 m above sea level.
• Climate: Tropical; 2 distinct seasons – dry (Nov–Apr), wet (May–Oct).
• Soil: Well-drained basalt and red soils with high fertility.
• Irrigation: Drip and manual watering used during dry months.
• Crop Cycle: Harvest begins after 3 to 4 years; peak production around 7 years.

Harvesting Process

• Harvest Time: February to April, once berries turn red.
• Method: Hand-picking; labor-intensive.
• Drying: Sun-dried for 3 to 7 days until moisture content reaches 10 to 12%.

Cultivation Methods

• Farming Structure: Over 95% grown by smallholders.
• Trellis Systems: Concrete or wooden poles support climbing vines.
• Input Use: Fertilizers and pesticides widely used; concern over overuse in the past.
• Sustainability Shift: Increasing transition to GlobalG.A.P. and organic standards.

Supply Chain

• Farmers → Middlemen → Processors/Exporters: Common model.
• Cooperatives: Limited role; being promoted for traceability and quality control.
• Exporters: Include large domestic firms and joint ventures with foreign partners.

Local Logistics

• Transport: Trucked from farms to Ho Chi Minh City and other southern hubs.
• Ports: Cat Lai, Cai Mep-Thi Vai, and Hai Phong for sea freight.

Regulations and Certifications

• Oversight: Ministry of Agriculture and Rural Development (MARD).
• Certifications: GlobalG.A.P., Rainforest Alliance, Organic (EU/USDA), and ISO standards widely pursued.

Quality Standards

• Moisture: Max 12% for export; lower for specialty segments.
• Density & Oil Content: Evaluated for grade classification.
• Grading: Based on size (ASTA grade), color, and cleanliness (machine/hand cleaned).

Trade Terms

• Exports (2023): Over 220,000 MT.
• HS Code: 0904.11 (Whole) & 0904.12 (Ground).
• Top Markets: US, India, Germany, Netherlands, Egypt, and UAE.

Environmental Impact

• Pesticide Concerns: Excessive use led to rejection of some consignments in past years.
• Soil Erosion: Intensive farming on slopes increases land degradation.
• Mitigation: Training in organic and sustainable farming is expanding.

Social Impact

• Income Generation: Pepper is a cash crop; vital for household incomes.
• Labor Demand: High, particularly during harvest and drying.
• Rural Development: Contributed to improved infrastructure in key producing areas.

Uses

• Domestic Use: Limited; mainly in soups, marinades, and condiments.
• Industrial Use: Used in food processing, especially sauces and spice mixes. 
• Export: Bulk and value-added (ground, oil) forms dominate.