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Exports of pepper to India at risk

The Ministry of Industry and Trade has urged firms to control the quality of pepper exported to India and develop solutions to cope with policies affecting the export of pepper from Vietnam.
Exports of pepper to India at risk ảnh 1Farmers harvest pepper in Quang Tri province. The Ministry of Industry and Trade urges firms to control the quality of exported pepper. (Photo: VNA)

Hanoi (VNS/VNA) - The Ministry of Industry and Trade has urged firmsto control the quality of pepper exported to India and develop solutions tocope with policies affecting the export of pepper from Vietnam.

The warning was issued after the ministry received notification from the VietnamTrade Office in India that the Association of Pepper Growers in South Indiaclaimed the content of piperine in light black pepper of Vietnam (HS 09041120)did not meet the quality requirements of the India Directorate General of ForeignTrade.

In addition, in an article published in Hindu Business Line, the India Pepperand Spice Trade Association alleged that the piperine content in light blackpepper imported from Vietnam did not meet the minimum level of six percent.

The Spices Board under the India Ministry of Commerce and Industry couldevaluate the minimum piperine content in pepper imported from Vietnam, whichmight negatively affect the reputation of Vietnamese pepper as well as causingdisadvantages for Vietnam’s export of pepper.

Vietnam's Ministry of Industry and Trade was cooperating with the trade officein India to verify the allegation and urge the Indian side not to introduceunfavourable policies on the pepper trade between the two countries.

The Vietnamese ministry also urged enterprises and associations to control thequality of exported pepper and prepare for policies on the import of pepperfrom Vietnam.

According to the Vietnam Pepper Association, the COVID-19 pandemic was weighingon pepper exports, which coupled with the unexpected drop in domestic pepperoutput was challenging the country’s target of exporting 280,000 tonnes andearning 800 million USD this year.

Statistics from the General Department of Customs showed that Vietnam’s pepperexport was estimated at 166,800 tonnes in the first half of this year, worth 356million USD, a drop of 5.7 percent in volume and 21.1 percent in value over thesame period last year.

Amid the COVID-19 pandemic, the pepper import demands of Vietnam’s major exportmarkets, including India, the US and the EU, were anticipated to be low.

The domestic pepper cultivation was also unfavourable, due to climate change,falling pepper prices and diseases.

The domestic pepper prices ranged between 47,000 – 49,5000 VND per kilogrammeon August 11./.
VNA

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