KUCHING: Deputy Prime Minister Datuk Seri Fadillah Yusof said the imbalance between supply and demand has been among the challenges faced by the global pepper industry.
Fadillah, who is also the plantation and commodities minister, said the disparity has exerted significant pressure on prices and the cultivation of pepper in diverse regions.
"According to the International Pepper Community (IPC), it was estimated that the world consumed approximately 213,000 tonnes of pepper last year, indicating a slight decline in demand compared to the preceding year, which saw consumption of 224,000 tonnes.
"This decline can largely be attributed to the post-pandemic recovery and necessary demand adjustments," he said during the opening ceremony of IPC's 51st annual session and meeting here, today (November 7).
Fadillah said global pepper production last year reached 537,000 tonnes, a decline from the 548,000 tonnes recorded in 2021.
"The decline in supply highlights the importance for us, together with every member of the IPC countries, to develop programmes aimed at stimulating consumption.
"This initiative should extend beyond traditional markets to encompass new ones, which could include cooperative programmes between member countries, as outlined in Article 3 of The Agreement Establishing the International Pepper Community, a consensus reached among esteemed IPC members," he added.
IPC is an intergovernmental organisation established in 1972 under the auspices of the United Nations – Economic and Social Commission for Asia and the Pacific (Unescap), to promote and coordinate activities within the pepper industry with a view towards further development.
Member countries of the IPC include India, Indonesia, Malaysia, Sri Lanka and Vietnam, while Papua New Guinea and the Philippines have been designated as associate members.
In a statement today, the Plantation and Commodities Ministry said Malaysia was the fifth largest producer of pepper last year, with 32,724 tonnes, after Vietnam, Brazil, India and Indonesia.
"Today, there are approximately 38,587 pepper smallholders in Malaysia with a total pepper cultivation area of 8,091 hectares.
"Malaysia primarily exports pepper to Japan, Singapore, South Korea, Vietnam and Taiwan. Up to August this year, Malaysia recorded a total of RM96 million worth of pepper exports and will intensify searching for new markets such as in Scandinavian countries," it said. – Bernama