Market update

  • 20 November 2018 Open or Close

    Pepper prices move sideways. Brasil remains the cheapest origin with BP prices around USD 2250/t FOB. With new crops ahead in Januari 2019 we anticipate market to move towards the lower end of the trading range. SPOT availability remains tight, especially for WP.

    China garlic prices recovered somewhat from their previous lows. 2018 crop prices hardly cover the cost of cultivation and consequently farmers planted 30 % less acreage this year. Even though there will be a healthy carry over we aniticipate prices to move up a little further in 2019.

    A product to watch more closely is dehydrated onion. Indian suppliers state that next years crop will be small and carry over is small, prices already jumped some 30 %.

    Indian products in general seem to move at higher levels. Sesameseed prices surged from around USD 1800 to USD 2550 boosted by good demand. Also the cuminseed prices gained 25 % upon reports from both India and Syria that crops are smaller than in previous years. Planting in India has been good and somewhere mid 2019 new crop will become avalaible and prices may ease again.

    The poor 2018 mustardseed crop in Europe seems compensated by a good canadian crop. So the outolok changed from firm to neutral.

  • 30 October 2018 Open or Close

    Vietnam pepper exports totalled 200K mt over the first 9 months of 2018 and year end will reach 250K mt. Taking into account carry forward, imports and domestic consumption it is reasonable to say that 2018 Vietnam crop has been inbetween 250K up to 275K mt. Together with good crops in other origin crops this results in an overall 2018 crop of 550 – 600K which is conform our previous estimates.

    How come that pepper prices increased around 25 % over the past 2 months ? The answer to that may be the reluctancy of farmers to sell their pepper at (too) low prices. Weakening origin currencies contribute to that. (pepper will keep it’s value, local currencies won’t). Increasing worldwide economic uncertainties fuel this sentiment.

    Next to that demand and exports remain good with short positions in the market to be covered. With the extremely high prices being paid in 2015 and 2016 in mind buyers feel that current price levels are still interesting. The demand from China for Vietnam pepper keeps growing with an official 30 % increase to 35k mt during the first 9 months of 2018. However, also in the years to come there will be good pepper crops and we consider it unlikely that pepper prices will move up much further. We anticipate black pepper prices (BB.1 / VBP 500 faq) to move within the range of $ 2000 to $ 3000 for the coming 12 months.

    The dollar exchange rates stands now at 0,88 to the euro and in our opinion has potential to strengthen somewhat further.

  • 17 September 2018 Open or Close

    Market is slowly gaining  momentum. Pepper prices bouncing back somewhat from their previous lows early June.

    Indian origin products, especially from the south, firmed following the recent floodings. The crops of nutmeg and cardamom are said to be affected.

    Pimento prices came down a little further to levels around usd 2150/t CF for FAQ quality. The collection of the green berries will be finished in 2 weeks time and by then we should see a more stable market. This year there is a good crop due to favourable weather conditions.

    Indonesian cassia prices remain firm especially for better grades vera aa sticks.

  • 4 September 2018 Open or Close

    Market is slowly picking up after the summer holidays Pepper prices are stable and look attractive. Spot availability remains tight.

    Mexico pimento new crop has started and seems good. The price for 99.5 % cleaned origin material moves around USD 2300/t CF EMP for S/O shipment. SPOT Europe availability is limited and prices are still higher.

    Origin cloves prices also tend somewhat lower.

    China garlic prices seem to have bottomed and are stable now at slightly higher levels.

  • 24 August 2018 Open or Close

    Buyers slowly becoming active again after the summer holidays. This week the price for Brazil black pepper B.1 shortly dropped to usd 2000/t FOB. Obviously exporters anticipate even lower prices to come.

    Prices from other origins are clearly higher with Vietnam 500gr/l FAQ being quoted at USD 2250/t FOB. It leaves to be seen what effect the floodings in India have on prices and 2019 crop.

    We see attractive prices for new crop Mexico pimento. (let us know your needs to see what we can do)

    Cardamom prices are expected to remain high. Guatemala new crop is about to start in September. As the rains have been abundant a good crop is anticipated. However, with no carry over and prices controlled by the cardamom cartel there is little room for lower prices. Also the previously mentioned floodings in south India (the other cardamom production area) may have effect on prices.

    The exchange rate of the US$ to the weakened somewhat to around 1.16

  • 16 August 2018 Open or Close

    Pepper prices remain bearish. We understand speculators in Asia are actively stocking, trying to push the price back up. Some say the bottom has been reached now, we dont think so.

    Harvesting of the Mexican pimento has started. We will see the first new crop arrivals 2nd half September. Opening prices from origin for FAQ-quality move around USD2600/ton CFR

    The supply of Indonesian cassia is tight resulting in higher prices especially for cassia sticks.As it takes years for new planted cassia trees to mature we anticipate continued high prices for the years to come.

    The exchange rate of the Turkish lira has come down sharply affecting other origin currencies as well.The US$ also continues to strengthen against the with a todays exchange rate of 1.136 coming from 1.25 in March this year. The America first policy of president Trump is starting to reflect itself in higher volatility in the global (currency) markets.

    This summer has been very hot and dry in Europe causing poor crop results for many commodities.Amongst others coreanderseed and mustardseed have been affected. The price for poppyseed already moved up sharply.

  • 26 July 2018 Open or Close

    During the past 2 weeks pepper market has been moving sideways.Once Lampong and Brasil new crop become available in August prices will come down further (our opinion). Both Vietnam and India report good growing conditions and anticipate good 2018/2019 crops. Unless something unforeseen happens we will see a worlwide bumper crop in 2019 (650K plus) so further weakness ahead.

    Indonesian clove prices came down somewhat and are competitively priced now. Nutmeg prices may firm a little now that India reports a smaller crop. Pimento crop is due in August and is expected to be normal.

    New crop ukrain yellow mustardseed is available at prices of € 750 up to € 800/t DAP depending on the purity. Coreander prices are firm. Crops are small and expecially availability of nice light color material is limited.

    European grown herbs (like parsley, dill, etc) are suffering from the current heatwave and drought.

  • 6 July 2018 Open or Close

    During the past week we witnessed a vibrant market with active SPOT covering.

    Origin pepper prices are bearish for later 2018. As we mentioned in April and repeated in May, there is abundant pepper available with anticipated crops adding up to 550 – 600,000 m/t pepper. A further reduction of price to even below usd 2000/t for black FAQ is not unlikely.

    SPOT availability of pepper is limited though and buyers should be prepared to pay a fair premium above origin prices.

    European weather  remains atypical with West Europe now suffering from severe drought. North and East Europe received fair amounts of rain in the past weeks. Hard to say how the different crops will turn out. So far just coreanderseed prices are firming. Canada (also) suffers from a heatwave  and lack of rains so we might see firmer prices mustardseed later on.

    Dollar moves sideways inbetween 1.16 and 1.17 to the EURO.

  • 19 June 2018 Open or Close

    We witness a relatively quiet market. Origin pepper prices are slightly weak however, because of the stronger dollar this is hardly reflected in lower € prices.

    Cardamom prices move up somewhat further with limited supply.

    We understand that most Eastern European countries are suffering from dry weather conditions affecting crops. Consequently we anticipate higher prices later this year for crops like coreanderseed and mustardseed.

    Origin sesameseed prices jumped with 10 % over the past 2 weeks with origin stocks diminishing and everybody looking forward to the new crop starting in September.

  • 8 May 2018 Open or Close

    After some weeks with a firmer tone Vietnam pepper prices now slowly come down again (as anticipated). We remain of the opinion that there is abundant pepper available.

    Garlic prices seem to have settled at lower levels. Onion prices are still attractive but with a smaller crop in India may restore a little.

    We anticipate higher prices for coreanderseed towards the end of 2018. 

    The US$ exchange rate increased with 5% over the past weeks and by now exceeds € 0,84. Clearly this is resulting in higher Euro prices. (a continued strong(er) dollar (and higher oil prices) may lead to higher inflation which in the long run may effect also other economic parameters)


product list


product list


product list

Dehydrated vegetables

product list

© 2017 Korf Food Products B.V. All Rights Reserved