From late June to mid-July, the potato market was in peak production and the price of agricultural products in many areas was dragged down to around 0.40 yuan per kg. Now, although potatoes from many production areas are on the market, the quantity is small and the price is high. In Shandong potato cold storages opened one after another, but there was little demand. The potatoes from new production areas will continue to enter the market, and the cold storages will continue to open.
However, the industry is generally optimistic about the second half of 2018, because the positive factors have not changed:
1. The large production areas listed in the second half – the planting area in Inner Mongolia and Gansu have indeed decreased. This has been mentioned many times in previous reports.
2. The trading of potatoes is active, and the wholesale market is active, indicating that the demand market is stable. Of course, we must also consider the market risk: in previous years, the driving force for the price rebound in the later period was related to the two channels of the wholesale market and the storage of goods.
Source: Zibo News Network