Global Pepper Market Overview
In value terms, pepper production stood at $1.7B in 2010 estimated in export prices. The total output value increased at an average annual rate of +1.3% over the period from 2007 to 2010; the trend pattern remained relatively stable, with somewhat noticeable fluctuations being recorded throughout the analyzed period. The most prominent rate of growth was recorded in 2010 with an increase of 17% y-o-y. In that year, global pepper production attained its peak level and is likely to continue its growth in the immediate term.
The countries with the highest volumes of pepper production in 2010 were Viet Nam (105K tonnes), Indonesia (84K tonnes) and Bulgaria (64K tonnes), with a combined 52% share of global production. Brazil, India, China, Sri Lanka and Malaysia lagged somewhat behind, together comprising a further 38%.
From 2007 to 2010, the most notable rate of growth in terms of pepper production, amongst the main producing countries, was attained by Sri Lanka, while the other global leaders experienced more modest paces of growth.
In 2010, the global average pepper yield stood at 866 kg per ha, jumping by 1.7% against the previous year. Over the period under review, the pepper yield continues to indicate a relatively flat trend pattern. The pace of growth appeared the most rapid in 2008 with an increase of 5.2% year-to-year. In that year, the average pepper yield attained its peak level of 901 kg per ha. From 2009 to 2010, the growth of the average pepper yield remained at a somewhat lower figure. Despite the increased use of modern agricultural techniques and methods, future yield figures may still be impacted by adverse weather conditions.
In 2010, approx. 566K ha of pepper were harvested worldwide; declining by -7.9% against the previous year. Over the period under review, the pepper harvested area continues to indicate a significant slump. The most prominent rate of growth was recorded in 2009 when harvested area increased by 8% y-o-y. Over the period under review, the harvested area dedicated to pepper production attained its maximum at 622K ha in 2007; however, from 2008 to 2010, harvested area stood at a somewhat lower figure.