Xinfadi is the largest fruit and veg wholesale market in Beijing. In 2016, the vegetable trading volume on the market decreased by 18 thousand tons compared to 2015. This was the first drop in 30 years. Although the trading volume has gone down, total turnover has grown faster than in previous years. At the same time, local convenience food stores are bringing new opportunities to the market.
Xinfadi was established nearly 30 years ago. Up to last year, the vegetable trading volume had been rising, but not last year," said Yu Xi Zhang, the Chairman of Beijing’s City Agricultural Products Co.Ltd. Last year, the vegetable trading volume was 6,9 million tons, a drop of 18 thousand tons compared to 2015. This was the first drop since Xinfadi was established in 1988. It was not only vegetables, the trade in vegetable oil, beef and mutton, spices and dried fruit, all declined last year.
However, total turnover has increased. In 2016, acccording to Zhang, 72 billion Yuan was traded on the market, a 19% increase compare to the year before. Xinfadi is the largest wholesale market in Beijing for fresh produce.
The decrease in the vegetable trade is caused by a decline in the growth of Beijing’s total population, according to Yu Xi Zhang. On the market, currently an estimated 260 vegetable varieties and 270 fruit varieties are being traded. The rise of convenience stores is not threatening the market. It has been reported that Beijing has the seen construction of 1,000 new convenience stores in recent years. In response to this new development, Xinfadi will invest in 1,000 new electric trucks that will transport its goods across the city. Average prices in these local convenience stores will be higher than at the wholesale market, but lower compared to supermarkets or other retail stores.