"There are still some volumes of fresh ginger on the domestic market, but the volume of top-quality ginger is clearly smaller than around this time last year. The volume of top-quality ginger is expected to shrink even further as the season proceeds. This is one of the reasons for the continued price increase in the Chinese ginger market this year. As exporters, we are naturally affected by these developments as well," stated Zhang Yang of Anqiu Xinlong Food Co., Ltd.
"If we take a broad view of August, we expect the supply of fresh ginger to maintain stability throughout the month. The demand volume is unlikely to rapidly rise or decline. Price fluctuations are likely to remain weak. However, there is a risk of fresh ginger going to waste in storage and we must minimize that risk. We have to make sure that the ginger leaves the warehouse in a certain order, keeping the best quality until last.
The price of fresh ginger does experience fluctuations and ginger farmers sell their stock based on actual market conditions to maximize profit. During slow periods in particular, both ginger farmers and traders with stock in storage try to select the most rational policy. They divide their stock in small batches and sell when the market is most opportune. They can not simply sell blindly without paying attention to market conditions. On the other hand, the ginger harvested in 2018 has a relatively high water content. This makes the ginger susceptible to disease and rot. To avoid financial losses due to product waste, farmers and traders with stock in storage have to adjust their storage conditions in advance. They have to pay attention to market trends and sell their stock in time to avoid or minimize product waste."
"The price of fresh ginger in the domestic market certainly has an impact on the export volume. July was the slow season and demand was not strong. In August the buyers are hesitant. They wait to see how the market develops. However, since the price of Chinese ginger was high earlier in the season, and the export price was therefore high as well, the number of orders from overseas markets declined. While the price of Chinese ginger was rising, the European ginger market entered the off season. European market demand was low and importers were unwilling to pay the high price. Instead, they turned to Peru and Brazil, even though the supply volumes from Peru and Brazil are quite small in comparison with the supply volume from China."
"The Chinese ginger price was quite low last year, but this year the supply volume was limited. Market conditions are completely different. The fresh ginger from the new production season will enter the market in October. We will then resume regular export with overseas customers. We are currently working hard to expand our market share in Europe, the Middle East, and East Asia. We welcome all interested parties to contact us and discuss possibilities for cooperation. Our company specializes in fresh ginger export. We mainly export to Europe, Southeast Asia, and the Middle East. Our company is GAP and GRASP certified to make sure that our products meet with standard requirements in the export industry. In this way we hope to better satisfy consumer demand in the global market."
For more information:
Anqiu Xinlong Food Co., Ltd.
Tel.: +86 139 6364 0217
WhatsApp: +86 139 6364 0217
WeChat ID: +86 139 6364 0217