Shipping delays hinder Chinese garlic export

The overall surface area devoted to Chinese garlic plantation expands every year. The production volume in 2020 broke historical records. That is why the garlic price frequently fluctuates. Looking back on market conditions in the last three years there have been many changes.

In 2018, the garlic price reached a low point as soon as garlic entered the market. The price of fresh garlic even dropped below 1 yuan [0.15 USD] per 0.5 kg. Some investors seized this speculative opportunity to purchase large volumes of garlic for low prices. That is why the garlic price suddenly began to rise in 2018-2019. Afterwards, in 2020, the price of garlic again dropped to a low point as soon as fresh garlic entered the market. The situation of 2018 repeated itself. Traders with storage space again speculated on the market and stocked up on cheap garlic. The trade volume temporarily declined because traders were stocking up. And the price again rose to a relatively high level around Chinese Spring Festival [12 February, 2021].

"After Spring Festival the export price of garlic began to fall again and only slightly recovered in early March. The price fluctuations are related to the large volume of garlic in storage, but also to the rapid spread of Covid-19 in overseas markets such as South America, Africa, and Europe." This is according to Ms. Annie Chen, Sales Manager at Jining Fenduni Food Co., Ltd.

China is the largest exporter of garlic in the world. The garlic production areas in China are widely distributed, but most of the current export market supply comes from Jinxiang in Shandong. Garlic from Yunnan and Henan is primarily absorbed by the domestic market. This division is the result of Jinxiang's huge production capacity. Jinxiang can guarantee a steady supply of top-quality garlic at reasonable prices.

According to Annie Chen: "The period between June and August has traditionally been the peak period of garlic export because fresh garlic enters the market in June, but we can export garlic all year round. We currently supply markets in Africa, the Middle East, and South America. The shipping cost rapidly increased again in April, but differed according to shipping routes and shipping companies. CMA leads this trend. The biggest challenge, however, is the delay in shipping. Some shipping containers have no way to arrive in port on time, which will certainly affect the retail plans of clients."

For more information:

Ms. Annie Chen - Sales Manager

Jining Fenduni Foodstuff Co., Ltd.

Skype: fenduni5 

WhatsApp: + 86 18678710377 

WeChat: + 86 18678710377 

Viber: + 86 18678710377 




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