ON the Friday afternoon that The Public Ledger spoke with Gerwald Kras of the Rotterdam office of pepper processor Olam International, something odd had happened that epitomised the shifting power in many agricultural commodities. "It's very strange. Vietnam is not even a seller today," he said. "Indian prices moved up by 3% on the exchange and all of us are confused. We were waiting for the Vietnamese crop to bring prices down." There could be fundamental reasons for the price remaining high. Chinese buyers have stepped in and bought at higher prices; rainfall in Vietnam has caused problems with drying the pepper; Brazil and Indonesia are sold out while India's production covers its local consumption; and buyers have limited coverage so spot markets are tight. Overall, supply and demand are not looking great in the pepper market. Although Vietnam is having a huge crop, the world market is balanced, according to Mr Kras... Read More