Highland chili prices surge in Vietnam due to high labor costs

Ot gio, a specialty highland chili grown in northern Vietnam, is commanding high market prices due to limited supply and labor-intensive harvesting processes. In Yen Minh, Tuyen Quang, the chili is purchased at farms for approximately 450,000 VND/kg, while prices in Ho Chi Minh City can reach between 600,000 and 650,000 VND/kg.

Prices fluctuate based on seasonality and availability. During the early season, prices can hit 700,000 VND/kg, and during periods of scarcity near the Lunar New Year, they may rise to 1 million VND/kg. The high cost is attributed to the small size of the fruit, which requires significant manual labor; an average worker can only harvest about 1.5kg per session.

Production is currently limited by weather conditions, such as prolonged droughts, and relatively small cultivation areas. Beyond fresh sales, the chili is being used for various processed products, including salted chili, vinegar-soaked chili, and chili sauces, to increase its value.