Lychee price falls the most

China: Hainan Fruit Market Analysis

This year, Hainan's fruit has generally increased production. Compared with last year, the harvest was better, but it was in a situation of "increasing production and not increasing income".  

Due to the weather this year, various fruits from the province went on the market around the same time, along with other tropical fruit, in the regions of Guangdong, Guangxi, Fujian and Southeast Asia. Consumers had therefore more choice.

Also, due to the constraints of Hainan's traffic, under the same conditions, the purchaser often prefers the acquisition of other southern provinces with convenient transportation and low transportation costs. Therefore, during the harvest, the outbound capacity of the island was insufficient. Some fruits couldn't get out of the island in time. 

This comes on top of increasing quality issues. The planting area of a single variety is too large, and quality varieties are slower to develop. The Hainan fruit deep processing industry is underdeveloped, and the unsaleable fruits cannot be processed.

A variety of reasons led to a total decline in fruit prices in the second quarter. Hainan fruit price fell 14.4% in
first half of a year.

Source: Pengpai News





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