"The price of Chinese garlic has significantly declined in the last few weeks. The price briefly started to rise, but then fell even lower. Only recently did the price slowly stabilize. The volume of fresh garlic in storage is gradually growing larger. The price is expected to rise in the next few weeks because traders are purchasing fresh garlic to stock their warehouses." This is according to manager Zhang Chunjian, a spokesperson for Jinan Wantao Food Co., Ltd. who recently talked about the current conditions in the Chinese garlic industry.
"Xinfadi Wholesale Market, the largest fruit and vegetable trade center in Beijing, was the scene of a renewed outbreak of Covid-19 on the 11th of June. The municipal government implemented strict isolation measures on the 14th of June, and this had an indirect impact on the garlic market. However, the garlic markets around Beijing still operate as usual. Market conditions are rapidly recovering from this incident," said manager Zhang.
"In 2020, the overall surface area devoted to garlic plantation in China expanded by around 18.2% in comparison with the previous year. Furthermore, the average size of individual garlic bulbs is much larger than last year. However, the larger production volume naturally put pressure on the price of garlic, which subsequently declined. The current price of garlic export to Europe is around 700 USD per ton. That is almost 40% lower than around this time last year. Although the export price is quite low, the price of garlic in the European market recently maintained a high position," said manager Zhang. "The garlic that is available in the European market comes from refrigerated storage in China and was sold before the beginning of May. The price was relatively high then. However, I predict that the price of garlic will rise again when the garlic that left China in early June arrives on the European market."
"As for the export volume of Chinese garlic, we deliver around 20 shipping containers per week. We recently shipped garlic to Europe, the Middle East, and South Asia. Our export volume has been quite big in the last few weeks." When asked about market prospects for the next few weeks, manager Zhang explained: "I expect the price to continue rising in the next few weeks, because traders are buying larger volumes of fresh garlic to stock their warehouses. However, the price rise will be limited, no more than 10% or so."
In addition to garlic, Jinan Wantao Food also exports a variety of other agricultural products such as fresh ginger, onions, apples, pears, Chinese chestnuts, and potatoes. The company also sells processed products such as ginger slices, garlic powder, and garlic cloves. Jinan Wantao Food mainly exports agricultural products to Europe, the Middle East, South Asia, South America, and North America. The company has an annual export volume of around 2,000 shipping containers.
For more information:
Zhang Chunjian - Manager
Jinan Wantao Food Co., Ltd.
Tel.: +86 13561730391