The pepper plant is a perennial climbing shrub that originated in India and Sri Lanka. Pepper is considered the world’s most important spice and has been used to flavor foods for over 3,000 years. Pepper was once considered so valuable that it was used to ransom Rome from Attila the Hun. Black pepper alone accounts for nearly 35% of the world’s spice trade. Unlike many other popular herbs and spices, pepper can only be cultivated in tropical climates. The pepper plant produces a berry called a peppercorn. Both black and white pepper are obtained from the same plant. The colors of pepper are determined by the maturity of the berry at harvest and by the different processing methods.

Black pepper is picked when the berries are still green and immature. The peppercorns are then dried in the sun until they turn black. White pepper is picked when the berries are fully ripe and bright red. The red peppercorns are then soaked, washed to remove the skin of the berry, and dried to produce a white to yellowish-white peppercorn. Black pepper has a slightly hotter flavor and stronger aroma than white pepper. Piperine, an alkaloid of pyridine, is the active ingredient in pepper that makes it hot.

Black pepper oil is obtained from crushed berries using solvent extraction. Black pepper oil is used in the treatment of pain, chills, flue, muscular aches, and in some perfumes. It is also helpful in promoting digestion in the colon.

The world’s key pepper varieties are known by their place of origin. Some popular types of pepper are: Lampong Black and Muntok White from Indonesia, Brazilian black, and Malabar Black and Tellicherry from India.

Prices – Average black pepper prices in 2002 fell sharply to 92.3 cents per pound from 116.2 cents in 2001 and the 1999 record high of 254.5 cents. Average white pepper prices in 2002 fell to 117.6 cents per pound from 132.6 cents in 2001, and were down sharply from the 1998 record of 356.5 cents.

Trade – The world’s largest exporter of pepper by far is Indonesia with 47,502 metric tons of exports in 2000, the latest reporting year. After Indonesia, the largest exporters are Vietnam with 23,543 metric tons (5-yr average), Malaysia with 21,804 metric tons, Brazil with 20,469 metric tons, and India with 19,125 metric tons.

US imports of black pepper in 2000 fell –8.6% to 43,479 metric tons from 47,591 metric tons in 1999, which was a record high. The primary source of US imports of black pepper was Indonesia, which accounted for 36% of US imports, followed by India with 25%, Brazil with 18%, and Malaysia with 10%.

US imports of white pepper in 2000 rose +7.7% to a record high of 7,311 metric tons. The primary source of US imports of white pepper was Indonesia, which accounted for 87% of US imports, followed by 3% shares each from Singapore, Malaysia and China.