"Chinese lemons are expensive and overseas market demand is smaller than usual"

The export market for Chinese lemons has grown weaker since last September. The price was reasonable, but there was no market. The competitive market position of Chinese lemons declined. Mr. Zhang, Head of Sales at Jining Greenstream Fruit & Vegetables Co., Ltd., recently talked about the export market for Chinese lemons.

The production volume of Chinese lemons declined because many production areas suffered from poor weather conditions earlier this season. The ratio of top-quality lemons suitable for the export market declined. In previous years about 80% of the production volume was suitable for export. In 2020 only 60% was suitable. That is why the purchase price in production areas was higher than normal, around 1.7-1.8 yuan [0.26-0.27 USD] per 0.5 kg, which is nearly 80% higher than in the previous year.

"People in the Chinese lemon market thought the market conditions would improve after Chinese Spring Festival [12 February, 2021]. That is why there was little competition in the export market. However, the supply volume for the export market was small and the price was high. Overseas market demand declined, while domestic market demand remained stable. Some traders have now begun to empty their warehouses. The price of lemons is not bad. First- and second-grade lemons sell for 3.6-3.7 yuan [0.55-0.56 USD] per 0.5 kg, which is twice the price of last year. Although the profit margin is not as big as traders expected, they still earn round 20%-30%," said manager Zhang.

"We export our lemons to many different markets, but recently we have primarily exported our lemons to Malaysia, Indonesia, and the Middle East. The overall export volume is not as big as in previous years. China mainly produces Eureka lemons. Although the Chinese lemons are not as juicy as Turkish or Egyptian lemons, they keep for a long time and are therefore quite popular in the global lemon market."

Although the export market remains weak, domestic sales have already recovered. "Domestic sales primarily cater for restaurants and beverage shops. The outbreak of Covid-19 was largely brought under control in China in the second half of last year. These domestic sales channels have been quite stable. In addition, the high vitamin-C content of lemons have made the fruit more popular during the pandemic, and so the sales figures have gone up," said manager Zhang.

In addition to lemons, Jining Greenstream Fruits & Vegetables also exports pomelo, fresh ginger, and garlic. The company has an annual export volume of around 2,000 shipping containers.

For more information:

Zhang Shuhan - Manager

Jining Greenstream Fruits & Vegetables Co., Ltd.

E-mail: info@greenstream.cn 

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