BRAZIL TRADE BUSINESS GROUP - Pepper trade update

A Lastest News about Marketing in Brazil

Last updated: 11 Sep 2011

As always the big enigma is the behaviour of Indonesia in trading their crop which is said to be available after Rammadan celebrations. Indonesia is the last on the table to play its game - this is a real advantage to rule the game. Meanwhile prices go crazy at all origins and Brazil, if sell, does it very unwillingly. Farmers feel the taste of the blood and prices rise U$ 100 with every enquiry. New crop is arriving but brazilian exporters already sold big quantities for September through December and now the main concern is covering the sales. Once in a while a lot might be found for prompt shipment, from available stock but it goes out in a flash. New deals are only possible with bids and some sellers even require 100% pre-payment. Although there were rumors that 7,300 was offered, last confirmed asked price today was 7,500 for B1 quality. As always the big enigma is the behaviour of Indonesia in trading their crop which is said to be available after Rammadan celebrations.
Indonesia is the last on the table to play its game - this is a real advantage to rule the game.
Meanwhile prices go crazy at all origins and Brazil, if sell, does it very unwillingly. Farmers feel the taste of the blood and prices rise U$ 100 with every enquiry.
New crop is arriving but brazilian exporters already sold big quantities for September through December and now the main concern is covering the sales.
Once in a while a lot might be found for prompt shipment, from available stock but it goes out in a flash. New deals are only possible with bids and some sellers even require 100% pre-payment. Although there were rumors that 7,300 was offered, last confirmed asked price today was 7,500 for B1 quality.

IPC - WPB Week # 34/11, 22 - 26 August 2011

BLACK PEPPER
The market continued to be firm and prices increased strongly during the week, with an exception of price in Sri Lanka. Lampung the second largest pepper suppliers, is currently having an important role in influencing market direction. Unusually small crop arrival in August has pushed the price up. Global stocks are thin, while imports were higher. Under this condition the price increase is unabated. In Lampung, local price increased almost daily to IDR 56,000 per kg from IDR 53,000 at the last week’s close. Local prices of pepper in Vietnam increased significantly by VND 7,000 per kg to VND 130,500 during the current week’s close. Fob price of Vietnamese black
however was reported stable. This may be due to export commitment has been made much befor the price increase. Up to August export of Vietnam pepper was reportedly around 90,000 mt. Malabar black pepper price increased by 2% in spot market and around 3-5% in futures market. In Brazil, price increased by 3% locally and 6% fob. A marginal increase of 1% was also recorded in Malaysia.

WHITE PEPPER
The market for white pepper was firmer this week. Local prices in Bangka, Sarawak and Vietnam increased by 2-3%, while fob prices were reported stable, with the exception of marginal increase of fob price in Bangka.

 


Posted: 11 September 2011, last updated 11 September 2011

See more from Marketing in Brazil

Latest News    
BRAZIL TRADE BUSINESS GROUP - Pepper trade update   By Brazil Trade Business Group
Soybeans Maturing on Time   By Brazil Trade Business Group