The Chinese pineapple market has undergone a great upheaval. The price experienced frequent fluctuations. The overall surface area devoted to pineapple plantation greatly declined in 2016 and 2018, so that in 2019 the market conditions recovered somewhat. However, faith in the pineapple market is shaken. Will the price go up or down this year? Will traders make a profit or suffer financial loss?
In January 2020, in the period leading up to the Chinese Spring Festival [25 January, 2020] the supply volume of Xuwen pineapples gradually expanded. At the same time, visiting traders from the north had difficulty travelling south because of rain and snow. These conditions limited pineapple consumption in north China. Furthermore, pineapples had to compete with the low-priced Shatang tangerines. As a result, the price of pineapples slightly declined in the first month of this year. The average purchase price in Xuwen pineapple plantations was around 0.8-1 yuan [0.11-0.14 USD] per 0.5 kg. In the end, the purchase price managed to stay close to or exceed the cost price of 0.8 yuan [0.11 USD] per 0.5 kg.
Fewer visiting traders purchased pineapples after Spring Festival. Xuwen pineapples experienced sales difficulties. The market price rapidly declined and the pace of delivery slowed down. The price of pineapples plummeted. However, in the period between 4-14 February, the pineapple price in production areas slightly recovered.
The pineapple price slightly recovered because the previous surplus of ripe pineapples was slowly absorbed by the market and at the same time business resumed operations. Supermarkets gradually opened their doors again and a growing number of traders visited production areas to purchase pineapples. A number of express delivery companies also resumed operations and e-commerce platforms gradually opened for business as well. The number of pineapple orders is growing and pineapple farmers start to have faith in the market again. Farmers are unwilling to continue selling their pineapples at the cut-throat price of 0.2-0.3 yuan [0.03-0.04 USD] per 0.5 kg. The price is therefore rising, but only to a limited extent. The purchase price is still lower than the cost price.