In early June, five Vietnamese pepper businesses reported that over 18.5 tons of coffee and pepper were destroyed while waiting for export at Cat Lai port. This caused financial damage to the businesses and led to compensations and fines according to contract regulations. The Vietnam Pepper and Spice Association revealed that around 18.5 tons of goods were withdrawn, with pepper accounting for over 8.2 tons and coffee for 10.3 tons.
The loss of goods has sparked concerns among the industry players, who suspect that the goods were lost while containers were unloaded and awaiting export at the port. This has prompted calls for enhanced supervision from authorities such as the Vietnam Maritime Administration and Saigon Newport Corporation to ensure the safety of goods stored at the port.
To address this issue, the Vietnam Pepper and Spice Association urged authorities to investigate and compensate for the lost goods at the port, which are estimated to account for 7-28% of the total cargo volume. A representative from Saigon Newport Corporation assured that they would recheck their surveillance system to prevent any laxity in the future.
The fluctuation in prices of pepper and coffee after the losses was reported, with pepper increasing by 13,000 VND per kg and coffee decreasing by 1,600 VND per kg. Despite these challenges, Vietnam remains a major player in the global pepper and coffee industry, with high export prices and significant market shares. The industry is forecasted to grow steadily in the coming years, positioning Vietnam as a key player in the global market.
Moving forward, it is crucial for authorities and businesses to work together to ensure the safety and integrity of goods during the export process. The incident highlights how vulnerable exports can be during transportation, especially when dealing with large volumes of cargo that require careful handling.
In conclusion, this incident serves as a reminder that there are risks involved in international trade that need to be carefully managed. It is essential for both businesses and governments to take proactive measures to mitigate these risks and protect their interests while ensuring fairness in international trade practices.
