Cheap Pepper imports from Vietnam through Sri Lanka has been causing problems for Indian Pepper in domestic market, as Pepper prices in the domestic market fell by about 5 percent to reach Rs 456 per kg, which declined by over Rs 250 per kg from a year ago period.
Imported Pepper has more customers in India as it is much cheaper. Imported Pepper is available at Rs 350 per kg and it is sold at Rs 410 by the traders in the country.
During the last few years, Vietnam has been increasing their Pepper production. Pepper production in Vietnam this year is estimated at 0.22 million tons. Also Vietnam has been importing about 20000 tons of Pepper from Cambodia to re-export.
It is estimated that Vietnam exported about 0.165 million tons of Pepper till August this year. Asian countries are the largest buyers of Vietnam Pepper as Europe has banned it due to pesticide residue issues.