Vietnam’s chili exports unexpectedly generated nearly USD 50 million in just four months of 2026. This small but spicy commodity is emerging as a “gold mine” as neighboring countries continue to ramp up purchases.
The picture of Vietnam’s agricultural exports in the early months of 2026 is not only marked by the dominance of durian or coffee. A familiar spice fruit is widely available across rural areas from north to south. It is now quietly establishing a new position in the international market.
According to data from the Vietnam Customs Department, Vietnam’s chili exports reached nearly USD 50 million in the first four months of the year. This represented a 7.7% increase compared with the same period last year. In April alone, export value surged to USD 17.4 million, up 33% from the previous month.
Vietnam’s chili exports
The surge in demand for Vietnamese chili mainly comes from neighboring Asian countries. The Vietnam Fruit and Vegetable Association notes that Vietnam’s chili exports have become one of the most economically valuable spices. This is thanks to its strong alignment with regional culinary culture. China and Laos are emerging as the two largest destinations driving this sharp increase in demand.
The global supply chain shift is the key driver behind Vietnam’s breakthrough in chili exports. Leaders of the Vietnam Fruit and Vegetable Association noted that China has long relied heavily on chili imports from India to sustain its vast culinary industry. This is particularly evident in the booming Sichuan hotpot restaurant chains that experience peak consumption during the cold season.
When supply disruptions occurred in the South Asian country, Chinese purchasing groups quickly turned to Vietnam to fill the gap. Meanwhile, Laos continues to maintain strong demand. This is the result of the widespread use of dried chili in traditional daily dishes such as pickled chili and chili-based sauces.
The global chili trade is currently worth at around USD 35 billion annually. This scale is comparable to major agricultural commodities such as tea and coffee. Within this multi-billion-dollar market, Asia dominates, accounting for roughly 80% of total production.
Vietnam’s competitive advantage in chili is its strong pungency and diverse genetic varieties. Local chili varieties such as bird’s eye chili, small hot chili, and yellow horn chili are popular for their high capsaicin content. This compound not only creates the distinctive spicy flavor favored across Asian cuisines.
Vietnamese chili powder
It also provides health-related benefits, including stimulating endorphin release for pain relief and supporting blood circulation and blood pressure regulation. These biological characteristics have helped Vietnam secure its position as the world’s second-largest exporter of dried chili, behind only India.
The surge in global demand has directly reshaped rural economies across Vietnam. Export-grade chili prices typically range from VND 45,000 to 65,000 per kilogram. However, during supply disruptions such as those in late 2025, traders were willing to pay as much as VND 150,000 per kilogram to meet export deadlines.
This influx of export-driven capital has benefited key chili-growing regions nationwide. In the Mekong Delta, Dong Thap province leads with nearly 2,000 hectares of stable cultivation. It also records an average yield exceeding 10 tonnes per hectare. In the north, Lang Son province is also undergoing strong transformation. This includes concentrated farming areas in Chi Lang, Loc Binh, and Huu Lung districts.
Thanks to the adoption of high-yield chili varieties, farmers in these border regions can now harvest 300 to 500 kilograms per sao. This creates a more sustainable livelihood and enables many households to rise out of poverty through this small but valuable spice crop.
Vietnamese source: https://nguoiquansat.vn/khong-phai-sau-rieng-hay-ca-phe-day-moi-la-loai-qua-trong-phu-kin-lang-que-dang-am-tham-mang-ve-hang-chuc-trieu-usd-tu-xuat-khau-300336.html
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