Chinese consumers have had to change their eating habits in the last few weeks because many restaurants temporarily closed their doors in response to the outbreak of COVID-19. People now have to eat at home and prepare their own food. Following these changes, the shopping pattern of Chinese consumers shifted as well. People pay more attention to healthy foods as well as the shelf-life of products.
Mr. Xu of Rizhao Green Extension Food Co., Ltd. recently shared the management experience at his company during the COVID-19 pandemic: "Our company is specialized in frozen fruit and vegetable supply. We usually supply overseas markets, but during this pandemic we are also supplying the domestic market with frozen fruit and vegetables. The Chinese agricultural industry normally supplies large volumes of fresh fruit and vegetables around this time of year, but this year the outbreak of the COVID-19 pandemic changed consumption patterns. We see a growing number of orders for frozen fruit and vegetables. This is not just because frozen products have a long shelf-life, but also because frozen fruit and vegetables are easy to prepare at home. The preparation of frozen products requires less effort than the preparation of fresh products."
"The market has been somewhat slow and chaotic in recent weeks. We resumed operations relatively early and we benefited from growing market demand for frozen products, but the export market does not look good. Our export volume has declined. This is mainly because Chinese companies temporarily closed down earlier this season after Chinese Spring Festival [25 January, 2020] and this period of inactivity was extended by the outbreak of COVID-19. This turned into a pandemic later in the season, which affected the global market. There is still demand from overseas markets, although the pandemic has an impact on general sales, but market demand for frozen fruit and vegetables will always continue."
"We recently exported our products to Germany, the UK, and the USA. However, the USA has temporarily halted orders as the COVID-19 pandemic takes its toll. It is unclear when the situation will improve. As for distribution, domestic distribution has recovered, but overseas distribution still suffers from slower processes in overseas ports. The products are sometimes delayed, but we are still able to deliver our products to their destinations. Our overall export volume declined by 10% in comparison with last year. It is still difficult to tell how the situation will develop, because so many countries are now in the middle of their struggle with COVID-19."
"We predict a rapid growth in global market demand for frozen products. Many people are isolated at home during this COVID-19 pandemic and they have no way to go out for dinner. People will resume their regular shopping patterns as soon as the crisis is over and regular market demand will grow again. The current market price is quite stable. However, the price is also quite low. This is because overseas demand declined. The export market is slow and somewhat chaotic, which results in a low price. We sell more than 30 kinds of frozen fruit and vegetables. Frozen garlic and frozen ginger is quite popular in overseas markets. Domestic market demand focuses on frozen cauliflower, broccoli, green peas, corn, and mixed vegetables. We can produce frozen vegetables according to the client's requirements for size and variety."
For more information:
Xu Chuangang (Ross)
Rizhao Green Extension Food Co., Ltd.
Tel.: +86 18613627219