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China: 2018 orange and tangerine market prospects

Orange and tangerine products have become immensely popular with Chinese consumers in the last few years. In many production areas demand exceeds supply to varying degrees. The relatively high profit in this industry has led to a nationwide increase in the surface area devoted to orange and tangerine orchards. However, many fruit farmers have begun to expand without a proper knowledge of standardized management. While the supply has rapidly increased, the quality and taste of some of the oranges and tangerines has deteriorated.


Fruit farmers select tangerines

The bleak market conditions for Shatang tangerines were a direct blow for many large-scale fruit farmers and traders. The question is whether this will become an important trend in 2018.


Orange orchard

The import market conditions are as follows. The production season of oranges has started in Egypt and other countries. The volume imported to China is similar to that of previous years and shows an overall steady increase. This development is tied to the rising living standards of Chinese consumers and their growing desire for high-quality fruit. This development is also related to the increasing rigor with which overseas fruit farmers and traders control the quality of their products.

The increased presence of imported oranges on the Chinese market, however, does not mean that domestic production is not competitive. Many consumers have become accustomed to buying oranges in recent years. The domestic production continues to improve fruit quality. The packaging industry and the distribution service industry continue to advance development. Shiranui oranges, Gannan Navel oranges, and blood oranges are not cheap and there remains plenty of profit margin for fruit farmers and traders.

Apart from this, many people in the orange industry have begun to develop more product varieties after recent circumstances where certain product varieties became unmarketable. They also pay more attention to the proper application of fertilizer. These developments will cause fruit quality to greatly improve. The difference between domestic and import quality is growing smaller and consumers have begun to notice.
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