Inclement weather in North India, with heavy rains, has led to a subdued demand in the pepper market with prices ruling steady in several consuming centres. The rates at the Kochi terminal market stood at ₹666 for ungarbled varieties, while for MG1, it was ₹686.
Kishore Shamji, Director of Indian Pepper and Spices Trade Association (IPSTA), said that coupled with rains, the upper Indian market was slow due to the availability of imported pepper not only from Sri Lanka but from other producing countries as well which is having a negative impact on domestic prices. Imported pepper is available at ₹625-650 at consumer doorstep.
Quoting figures, he said total imports were around 7,000 tonnes in May and June put together, while it was 1,100 tonnes from Sri Lanka alone in these two months tonnes.
US tarrifs’ impact
The import duty announced by the US President Donald Trump also had a negative effect on the pepper market worldwide. Pepper exports from Vietnam, one of the largest producing countries, registered a decline of 1.37 per cent due to the US duties. India is the third largest importer of pepper from Vietnam catering to the value added industry both under Advanced Authorisation Scheme and EoU scheme, he said.
The new crop in Sri Lanka is reported to be lower forcing them to delay harvesting due to adverse weather.
Meanwhile, the pepper farming community has urged the Agricultural Universities, Spice Research Stations to take steps to encourage their acreage in view of the rising domestic market demand. The harvest in India in this season is expected to be good, thanks to the favourable climate in Kerala, Karnataka and Tamil Nadu.
The rising consumption of pepper has been felt globally as well which has led to depletion of carry forward stocks in view of changing food habits.
Published on July 16, 2025