Several representatives of Chinese ginger export companies recently explained that some countries are still exporting ginger, but they are being extremely cautious. There is a real risk that clients will ask for compensation because the product quality is not high enough. This is particularly true for the European market, which has high standards for imported ginger. Sales Manager Jason of Anqiu Tailai Foods Co., Ltd. recently provided his views on the matter.
"We gradually expanded our export volume in August, but afterwards the volume showed a downward trend until late October. This is normally the time of year when warehouses empty their stock. The ginger that is sold around this time of year has been in storage for a long time and the product quality is not great. Furthermore, many ginger production areas suffered from flooding last year, which means that many of the ginger suffered from plant diseases and insect pests. The ginger that entered storage is not good enough anymore for retail."
"Some exporters supply boxes of ginger that look good on the outside, but are actually below standard. The poor product quality becomes apparent by the time the ginger arrives at the export destination. Under these circumstances, clients demand compensation. This is an awkward situation that many larger companies now face. Taking this financial risk into consideration, many Chinese export companies have decided to temporarily halt the export of ginger. They will wait for fresh ginger to enter the market. It is still too early to predict how the market will develop, especially because the ginger price rapidly increased last season."
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Jason - Sales Manager
Anqiu Tailai Foods Co., Ltd.