Pepper market in Eastern Africa

Earlier Report Observations

The pepper market in Eastern Africa expanded from 2018 to 2020, with production rising from 34.5 thousand tons to 45.4 thousand tons and market volume growing from 27.7 thousand tons to 38.1 thousand tons. This growth was driven by heightened global demand for African pepper, particularly from Uganda, due to supply shortages from other exporters and doubling European prices. Farmers shifted to pepper cultivation for its higher profitability compared to traditional crops, aided by the introduction of new varieties like Long Cayenne and investment in processing machinery.

After peaking in 2020, both production and market volume declined over the next two years, falling to 32.8 thousand tons of production and 24.6 thousand tons of market volume by 2022. A partial recovery occurred in 2023, with production reaching 35.3 thousand tons and market volume 26.1 thousand tons, though still below the 2020 high.

In 2024, the market saw continued emphasis on technological adoption, such as mechanized milling in Kenya, to improve processing efficiency and product quality. Concurrently, rising global interest in organic pepper and its health benefits influenced consumer preferences, while economic factors like inflation and commodity price fluctuations affected agricultural inputs across the region.

Production pepper in Eastern Africa

In kind, 2017-2020, t

Top producers of pepper, 2017-2020

World map of production of pepper, 2017-2020

Pepper production in Eastern Africa has increased for the third consecutive year. In 2020, the region produced 45 365 tons of pepper, marking a solid 16.6% gain compared to 2019. Between 2017 and 2020, production grew by 37.2%, which translates to an annualized growth rate of 11.1%.

Annual dynamics of production in Eastern Africa in kind, 2017-2020, t

In value, 2017-2020, M $ US

In 2020, the value of pepper output in Eastern Africa reached 108.1 million US dollars, showing a solid 15.0% increase from 2019. Over the period from 2017 to 2020, production value rose by 14.8%, with a compound annual growth rate of 4.7%. The lowest value was recorded in 2019 at 94.0 million US dollars, which also saw the largest decline of 5.6%.

Annual dynamics of production in Eastern Africa in value, 2017-2020, M $ US

Exports pepper from Eastern Africa

Exports in kind, t

After two years of decline, pepper export volumes from Eastern Africa have increased. In 2020, the region exported 8 703 tons of pepper, representing a strong 23.0% gain compared to 2019. However, over the period from 2017 to 2020, exports decreased by 9.2%, with a compound annual growth rate of -3.2%. The lowest volume was recorded in 2019 at 7 077 tons, while the largest decline occurred in 2018 at 21.3%.

Annual dynamics of product's exports from Eastern Africa in kind, 2017-2020, t

From 2017 to 2020, the export partner landscape for pepper in kind was quite diverse. Sudan accounted for 20.0% of exports, the United Kingdom for 10.2%, and South Africa for 6.3%, together making up only 36.5% of total flows. The remaining 63.5% was distributed among many other countries, indicating a broad market reach.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Eastern Africa in kind, 2017-2020

Exports in value, K $ US

Following a two-year drop, pepper export values from Eastern Africa have risen. In 2020, exports amounted to 20 731 thousand US dollars, which is 21.2% higher than in 2019. However, between 2017 and 2020, exports decreased by 24%, equating to an annualized decline of 8.8%. The lowest value was recorded in 2019 at 17 099 thousand US dollars, which also saw the largest decline of 21.3%.

Annual dynamics of product's exports from Eastern Africa in value, 2017-2020, K $ US

The structure of pepper exports in value terms from 2017 to 2020 can be described as diversified. Sudan contributed 16.2% of exports, France 12.9%, and the United Kingdom 10.4%, together accounting for just 39.4% of total flows. No single country held a clearly dominant position, reflecting a balanced distribution among multiple partners.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Eastern Africa in value, 2017-2020

Imports pepper to Eastern Africa

Imports in kind, t

The data reveals irregular changes, indicating a volatile market environment. The lowest import volume was observed in 2018 at 659 tons, while the highest occurred in 2020 at 1 475 tons, representing a peak-to-trough ratio of 2.2 times. In 2020, Eastern Africa imported 1 475 tons of pepper, which is 94.4% greater than in 2019. The largest decline was recorded in 2018 at 29.0%.

Annual dynamics of product's imports to Eastern Africa in kind, 2017-2020, t

The structure of pepper imports in kind from 2017 to 2020 points to a diversified set of partners. China accounted for 20.7% of imports, Indonesia for 11.6%, and South Africa for 10.6%, jointly making up only 42.8% of total flows. The remaining 57.2% was dispersed among numerous smaller markets, highlighting a wide supplier base.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Eastern Africa in kind, 2017-2020

Imports in value, K $ US

After a two-year drop, pepper import values in Eastern Africa have increased. In 2020, imports reached 3 729 thousand US dollars, representing a sudden 35.1% year-on-year increase. The lowest value was recorded in 2019 at 2 761 thousand US dollars, which also saw the largest decline of 16.5%.

Annual dynamics of product's imports to Eastern Africa in value, 2017-2020, K $ US

From 2017 to 2020, South Africa was the largest supplier of pepper to Eastern Africa in value terms, accounting for 16.8% of imports, followed by China at 11.6% and India at 10.2%. Together, these three countries made up 38.6% of total imports, but they did not dominate the market, as imports were spread across a broad range of smaller partners.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Eastern Africa in value, 2017-2020