Black Pepper Crashes To New Low

Prices of black pepper have crashed to a new low as demand realisation for Indian black pepper has gone low in the global market. This is because of the huge price difference between India and other major producers.

Indonasia, the market leader, is offering black pepper at $1450 per tonne followed by Brazil at $1400 for shipment from September to December.

The current Indian price is at $1700-1800 leading to a fall in export demand. In Indonasia and Brazil productions are in full swing the expected targets are 20,000 tonne and 40,000 tonne respectively.

According to experts the global situation will not chang till December. Currently, Vietnam and other producing nations are virtually out of the market due to low stock positions.

 

The US importers have started enquiries for shipment in January 2002. But so far no contract has been finalised. The US is ready to buy at $1300.

Due to the current Inernational situation the prices have crashed in the domestic ready market. The garbled variety is priced at Rs 8,100 per quintal and for ungarbled it is at Rs 7,600.

These are the lowest prices in the last two years. During April to June there was a significant fall in the export of black pepper.