During the crisis years from 2018 to 2021, the pepper sector suffered sharp price declines, exacerbated by global supply chain breakdowns during COVID-19. Export revenue bottomed out at just $660.6 million in 2020.

However, in the post-pandemic recovery phase, Vietnamese businesses seized the opportunity as global markets rebounded. Export volumes surged, pushing total pepper export value back over the $1 billion mark in 2024.

As of mid-December 2025 - two weeks before the year officially closes - Vietnamese companies had exported 234,174 tons of pepper, generating $1.58 billion in revenue.

The industry now appears to be entering a new period of prosperity.

Vietnamese pepper is currently present in more than 110 countries and territories. Not only is Vietnam the largest global producer, but it also plays a pivotal role in the international pepper supply chain, accounting for about 60% of global exports.

Remarkably, the recent export boom is not just a result of higher prices. Vietnamese enterprises have shifted focus to deep processing - transforming raw pepper into high-value products - allowing them to reduce risks from price volatility and maintain competitive advantage in premium markets.

Phan Minh Thong, Chairman of Phuc Sinh Corporation, likens pepper to a highly lucrative “mineral resource” for Vietnam.

“After the pandemic, agriculture is back in the spotlight globally. The real question is whether we can develop it sustainably,” he said.

“If done strategically, agricultural businesses won’t just enrich the country’s ecosystem - they’ll also be highly profitable.”

Phuc Sinh has invested heavily in deep processing, obtaining international certifications that have enabled its finished pepper products to enter distribution networks in the United States and Europe.

According to Thong, complying with stringent international standards does more than just unlock access to high-priced markets - it creates lasting competitive differentiation. As a result, his company’s pepper export revenue has continued to grow steadily, even amid global economic and political volatility.

Similarly, a representative of Olam Vietnam said the company is expanding its range of processed and sustainable pepper products, tied to certified raw material regions, to meet the rising demands of global importers.

According to the Vietnam Pepper and Spice Association, the country currently has about 200 enterprises involved in pepper processing and trading. The top 15 exporters account for 70% of total national exports.

There are 14 deep-processing factories operating under international standards, producing a wide variety of products, including whole black and white pepper, ground pepper, and consumer-ready packages.

Experts believe that to boost long-term export value, the pepper industry must undergo a mindset shift - from quantity to quality and value.

This involves reorganizing growing areas, adopting sustainable farming practices, enforcing residue control, and increasing deep processing investments.

At the same time, companies are urged to prioritize product innovation alongside market expansion, embracing green production and emission reduction practices.

With the global market becoming more segmented and demanding, diversification will be key to the industry's sustainable development.

Ha Giang