In 2022, Vietnam saw its chili exports reach approximately 5,000 tons, generating a revenue of about 11.9 million USD. This figure significantly increased in 2023, with earnings soaring to 20 million USD, equivalent to more than 10,000 tons. Within nearly 10 months of the current year, the export turnover further escalated to 22.2 million USD. Historically, South Korea and the US were major consumers of Vietnamese chili. However, from 2022 onwards, China and Laos have emerged as the primary export destinations, holding 33% and 43% of the market share, respectively.
During a discussion with Youth Online on March 31, a leader from the Vietnam Pepper and Spice Association (VPSA) confirmed that China and Laos are the top importers of Vietnamese chili. The preference of China for Vietnamese chili is attributed to its culinary traditions, such as the Sichuan hot pot, which is rich in chili and pepper. The demand for chili, especially dried chili, increases in China towards the year's end. Previously reliant on Indian chili, China has shifted towards Vietnamese chili due to supply shortages. In Laos, the spicy cuisine necessitates a steady supply of chili, leading to a rise in imports from Vietnam for various dishes.
Vietnamese chili, known for its high spiciness and variety, including chili pepper, hot chili pepper, and yellow horn chili pepper, is increasingly favored in China and Laos. The domestic market price for chili ranges from 22,000 (0.9 USD) to 28,000 (1.10 USD) VND/kg. Following quarantine treatment, fresh Vietnamese chili commenced exports to China on March 3. The primary regions for chili cultivation in Vietnam include Dong Thap and Thanh Binh District, the latter being recognized as the largest chili granary in the West.
According to VPSA, the global chili output in 2020 was about 60 million tons, with Asia being the largest chili-producing region, accounting for 80% of the worldwide production. The global trade value of chili stands at approximately 35 billion USD annually. India leads as the top producer and exporter of dry chilies, followed by Vietnam, China, and Indonesia.
Source: Vietnam.VN