Building a Resilient Organic Pepper Brand
Table of Contents
While many Central Highlands farmers struggle with disease outbreaks and collapsing pepper prices, the Nam Yang Agricultural & Service Cooperative (Gia Lai) has carved out a profitable niche. Its Le Chi organic pepper brand enjoys stable markets and premium prices, even as conventional farms suffer heavy losses.
Founded two years ago—at the height of the pepper crisis—the co-op adopted organic and sustainable farming methods for the traditional Le Chi pepper variety. Despite initial doubts, its vines remain healthy and productive, thanks to modern agronomic techniques and strict organic standards.
High-Quality Certified Products
Nam Yang now offers an impressive portfolio of premium products:
-
Organic pepper (certified free of 600 chemical residues) – red, white, black, and green peppercorns.
-
Clean pepper (30-residue free) – including red, white, black, green chain pepper, dried green pepper, yellow pepper, multi-colored pepper, and specialty green pepper in brine or sweet-sour marinade.
-
VietGAP pepper meeting Vietnamese good agricultural practice standards.
The flagship red, white, and black Le Chi pepper trio has been recognized as a provincial outstanding rural product. In March 2019, the co-op earned USDA and EU organic certifications from the international Control Union.
Farmers Gain Higher Yields and Income
Member Le Trung Tin manages 3 hectares of pepper. After shifting to the co-op’s organic methods, his yield reached 6 tons per hectare, even as neighboring plantations suffered massive losses.
“Conventional pepper sells for around 40,000 VND/kg, but my organic pepper fetches 90,000 VND/kg,” Tin says. “Without the co-op and organic practices, my farm might not have survived.”
Strategic Partnerships and Expansion
Chairman Nguyen Tan Cong explains that members traveled widely to study organic farming models, joined technical workshops, and consulted both domestic and international experts. The co-op also actively sought partnerships with high-quality spice buyers such as Nedspice, Gia Vi Son Ha, and Ho Tieu Viet, ensuring stable outlets at premium prices.
-
2017–2018: 1.5 ha of pepper certified USDA & EU organic, entire 7-ton harvest contracted by Ho Tieu Viet at 120,000 VND/kg—nearly double market price.
-
2018–2019: Organic area expanded to 16 ha, producing nearly 60 tons. Despite market declines, contract prices remained strong: 85,000 VND/kg with Ho Tieu Viet and 82,000 VND/kg with Gia Vi Son Ha—still about twice the market price of 43,000–44,000 VND/kg.
A Model for Sustainable Pepper Farming
According to Truong Phuoc Anh, Director of Gia Lai’s Department of Agriculture and Rural Development, Nam Yang’s success offers a roadmap for sustainable pepper cultivation:
“In the midst of widespread disease and financial losses across the Central Highlands, Nam Yang’s organic model is exemplary. Its products meet the strict requirements of the U.S. and EU and achieve prices nearly double the current market rate.”
Nam Yang’s experience shows that organic pepper production not only preserves the environment but also secures long-term income and export potential, proving that even in a volatile market, green farming can turn crisis into opportunity.