The new production season of Chinese honey pomelo proceeds as usual. Poor weather conditions earlier in the season will have an impact on the production volume this year. The production volume is estimated to decline by 20%. Mr. Wen, spokesperson for specialized honey pomelo exporter Pinghe County Lipeng Fruit Industry Co., Ltd., talked about current conditions and export prospects in the Chinese honey pomelo industry.
Mr. Wen explained that pomelo production areas suffered from arid weather in March and April during the time that pomelo trees blossom and then develop their fruit. Many pomelo dropped from the trees because of a lack of water. That is why the volume of fruit on the trees is smaller than in previous years, and why the estimated production volume is lower this season. More recently the weather conditions improved. The new production season is expected to start in early August. The price is not easy to predict until around the 20th of July.
"The export conditions this year are mainly decided by two factors: the shipping cost and the pandemic. The shipping cost started rising last year and this trend still continues. The current shipping cost from China to Europe or Russia is around 8,000-12,000 USD per container. The product value of honey pomelo is relatively low. The high shipping cost will definitely have an impact on the product price. People in the industry suspect that the shipping cost in August, when the pomelo enter the market, may be even higher than it is at the moment. At that time we will have to see how market demand develops to understand whether consumers will be able to absorb the rising shipping cost," said manager Wen. "Apart from the rising shipping cost, there is also the ongoing Covid-19 pandemic. There is still some time to go before overseas markets have completely recovered their consumer power. That will undoubtedly affect overseas market demand and distribution speed."
"In the end, this is a very difficult year for anyone in the pomelo industry. Planters, exporters, wholesale dealers, and retailers all face huge challenges this year," said manager Wen. "We normally export 60% of our production volume. This year we plan to expand our domestic sales. In addition, while we maintain close contact with loyal clients, we also hope to establish contact with new clients."
Pinghe county Lipeng Fruit Industry is a specialized honey pomelo export company. The company continuously works to improve their packaging methods. "One of the trends we see is the demand for high-quality packaging and the hope for a reduction in the use of plastic. Some of our clients tell us that the European market may soon introduce a plastic ban. Many clients already have such demands for the use of less plastic in the packaging process. Honey pomelo for the domestic market and overseas markets are all packaged in a red plastic mesh bag with a red ribbon. Both are decorative. That is why we propose to our clients to abandon these decorative elements, but to keep the clear plastic cover that actually protects the fruit against decay and insect pests. This clear plastic covering is necessary to maintain product quality. We are also in conversation with our clients about different, more environmentally-friendly ways to maintain product quality,' said manager Wen. "We hope to produce beautiful, sustainable packaging and raise the added value of our honey pomelo."
Pinghe county Lipeng Fruit Industry has a pomelo plantation in Pinghe, Fujian, that covers an area of about 120 hectares. All pomelos from their plantation are GAP certified. "We always work hard to raise the product quality of our pomelo, from plantation management, harvest, storage, selection, and packaging. We observe strict standards at every stage of the process. One of our advantages is that we have our own processing line. We have also completely renewed our storage facilities. The storage facilities maintain the freshness of our pomelo and extend our retail season. Even when the supply volume of pomelo starts to decline, we will still be able to supply our clients with fresh, top-quality pomelos."
For more information:
Mr. Wen Mindong
Pinghe county Lipeng Fruit Industry Co., Ltd.
Tel.: +86 592 5314 087
Tel.: +86 189 6511 5427