HCM CITY — Việt Nam’s pepper industry recorded export revenue of more than US$1 billion in the first eight months of 2025, the highest level for the period in seven years, according to the Vietnam Pepper and Spice Association (VPSA).

The surge was driven by stable global demand and limited supply, which has kept export prices high.

In August alone, Việt Nam shipped 21,464 tonnes of pepper worth $139.8 million, up 2.6 per cent in volume and 1.7 per cent in value from July. Compared with the same month last year, export volume rose 10.6 per cent while earnings jumped 19.5 per cent.

From January to August, the country exported 166,510 tonnes of pepper, including 142,627 tonnes of black pepper and 23,883 tonnes of white pepper. Despite a 9.4 per cent decline in export volume from a year earlier, revenue rose 28 per cent to over $1.12 billion, thanks to higher prices. The average export price reached $6,666 per tonne for black pepper and $8,732 per tonne for white pepper, up 41.5 per cent and 38 per cent, respectively, year-on-year.

The US remained the largest buyer of the Vietnamese spice, accounting for 21.4 per cent of the country's total pepper export value, with shipments of 35,697 tonnes.

However, shipments to this market fell more than 31 per cent from a year earlier. By contrast, exports to China rose sharply by 58 per cent year-on-year to 13,282 tonnes, while sales to the United Arab Emirates and India expanded 9.7 per cent and 13.7 per cent, respectively.

On the import side, Việt Nam purchased 34,524 tonnes of pepper worth $215.3 million in the eight months, up 61.7 per cent in volume and 143.5 per cent in value from a year ago. Brazil remained the largest supplier with more than 17,500 tonnes, followed by Cambodia and Indonesia.

Domestically, pepper prices have been on the rise since late August. Farm-gate prices climbed from VNĐ142,000-143,000 ($5.4) per kilogram on August 20 to VNĐ154,000-155,000 by early September, before stabilising at around VNĐ152,000-153,000. VPSA attributed the increase to the end of the harvest season and dwindling on-farm stocks, while exporters continue to buy to fulfil signed contracts.

Industry experts forecast that limited supply will keep prices firm in the short term, especially as Vietnamese firms reduce imports of raw pepper for re-export processing due to new US reciprocal tariffs of up to 40 per cent on transshipped goods. — VNS