The price of Chinese vegetables in the Beijing markets recently stopped falling and began to rise instead. Liu Tong, a data analyst at the Beijing Xinfadi Agricultural Wholesale Market, explained that there are three main reasons for this development: first, several kinds of vegetables entered the market in large volumes in early June and their prices consequently dropped. Quite a few farmers suffered financial losses as a result and were forced to withdraw from the market. The reduced supply volume in turn pushed the price up again. Secondly, vegetable production areas in north China had hot weather earlier than usual. The vegetable varieties that prefer cold weather suffered from the rising temperature and their growth slowed down. The volume of top-quality vegetables also decreased. This further pushed the price up. Thirdly, the summer harvest of vegetables from cooler areas has not yet entered the market in large volumes.
Source: Economic Daily