Vietnam’s pepper exports rise as cinnamon shifts beyond Asia
Vietnam’s pepper exports rose 14.2% by volume in the first eight months of 2026, supported by stronger demand from China, Thailand and the United States. Cinnamon shipments were nearly flat, but growth in the Americas, Europe and Africa offset weaker Asian demand.
Pepper volumes rise despite lower average prices
Vietnam exported 190,153 tonnes of pepper worth $1.2 billion during the first eight months of 2026, according to the Vietnam Pepper and Spice Association (VPSA). Volume increased 14.2% and value rose 8.9% from the same period of 2025. The slower increase in revenue reflected lower average export prices: black pepper averaged $6,372 per tonne, down 4.4%, while white pepper averaged $8,386 per tonne, down 4%.
August shipments reached 21,724 tonnes valued at $140.9 million. That was 4.5% lower by volume and 4.3% lower by value than in July, although volume remained 1.2% above August 2025. VietnamPlus reported that higher shipment volumes, rather than stronger prices, remained the main driver of export revenue growth.
China, Thailand and the United States support pepper demand
Asia received 88,441 tonnes in the eight-month period, up 12.5%, and accounted for 46.5% of Vietnam’s pepper exports. Shipments to China climbed 54.3% to 20,495 tonnes, while exports to Thailand rose 71.5% to 7,753 tonnes. India moved in the opposite direction, with purchases falling 23.6% to 7,914 tonnes.
The Americas imported 49,830 tonnes, an increase of 26.4%, representing 26.2% of total shipments. The United States remained Vietnam’s largest individual pepper market at 44,349 tonnes, up 24.2% and equal to 23.3% of exports. Europe took 40,892 tonnes, up 7.8%. Deliveries to the Netherlands increased 42.2% to 6,965 tonnes, while Germany declined 16.5% to 7,329 tonnes. Africa received nearly 11,000 tonnes, 4.1% more than a year earlier.
Lower domestic supply also pushed processors and exporters to increase raw-material imports. Vietnam imported more than 47,000 tonnes of pepper worth $270.3 million, up 36.1% in volume and 19.8% in value. Cambodia supplied 26,980 tonnes, a 216% increase, and accounted for 57.4% of imports. Purchases from Brazil fell 28% to 7,753 tonnes, while Indonesia supplied 4,684 tonnes, down 26%. VPSA said the rise in imports showed that companies were supplementing supplies for processing and re-export.
Cinnamon growth comes increasingly from outside Asia
Vietnam exported 83,433 tonnes of cinnamon worth $213.9 million in the first eight months, with volume up only 0.5% and value up 1.6%. Asia remained the largest destination at 56,363 tonnes, or 67.6% of exports, but shipments to the region fell 8.2%. India bought 32,920 tonnes, accounting for 39.5% of the total, while purchases by the United Arab Emirates, China and Indonesia declined 29%, 37.5% and 37.7%, respectively.
Markets outside Asia provided the counterweight. Cinnamon exports to the Americas increased 35.1%, including a 29.3% rise to the United States, which represented 13.6% of total volume. Europe grew 4.3% and Africa 24.8%. In August alone, shipments to the Americas reached 2,651 tonnes, up 49.9% year on year, while Bangladesh purchases rose 76.9% to 994 tonnes.
Vietnam also imported 4,438 tonnes of cinnamon worth $9.4 million, up 43.1% by volume and 27.7% by value. Indonesia and China supplied 87.6% of the total. VPSA Secretary General Lê Việt Anh said the spice industry aims to export $2.2 billion in 2026, including about $1.7 billion of pepper and $500 million of cinnamon, star anise and other spices. Higher tariffs and freight costs weakened August sales to the United States and the European Union, but VPSA expects stable global pepper demand to support the annual target.
