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China: Kiwi industry suffers heavy losses
Throughout October, it has been a hard time for kiwifruit farmers. Since mid-October, in less then a month, kiwi prices have dropped from 8 yuan per kilo to today's 2-4 yuan per kilo. The fall in prices and sales stagnation is the same all over China.
The main reasons are:
1. Market demand for kiwis was high before. There was a lack of kiwi fruits and demand exceeded supply. Buyers tried to buy every kiwi available. At the same time, quality requirements weren't very high. This state of affairs made high prices possible.
2. Kiwi fruits were affected by unfavorable weather factors such as early drought and late rains.
3. The national kiwi industry developed too fast and created an oversupply.
4. Buyers' requirements became much higher.
5. There are no clear grading standards. Buyers and farmers don't really understand how to evaluate the quality of kiwis.
Source: Economic Crop News
Publication date: 11/15/2017
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