Domestic shipping is often delayed

Chinese export of fresh ginger encounters obstacles

The Chinese ginger market has been weak in the last few weeks. Many production areas suffered from frequent rainfall. These conditions made delivery from production areas complicated, and so market supply became unreliable. It is very difficult for the price to rise under these circumstances. But now Mid-Autumn Festival [21 September, 2021] is fast approaching and that will have an impact on the ginger market. In the long run, however, the market is likely to remain weak.

"Look at the conditions in Anqiu, for example, excessive rainfall had a severe impact on the production of ginger there. Traders with stock in storage are afraid the rainfall will create damp conditions in their warehouses. This makes them eager to sell their stock, but buyers mainly purchase according to current needs. Buyers are hesitant. Much of the ginger in storage will wait a while before being sold." This is according to manager Yang of Jinxiang County Jinhui Import and Export Co., Ltd.

"This is the slow season in the ginger export market. Overseas demand is extremely limited. In addition, many countries still struggle with outbreaks of Covid-19. Overseas ports often receive more trade than they can currently handle, which means that cargo ships cannot return in time, and so domestic deliveries are delayed as well. Buyers have become much more careful due to the uncertainties during this pandemic. The overall export volume of ginger increased somewhat after the beginning of July, but the export price still shows a downward trend," said manager Yang.

As for the upcoming Mid-Autumn Festival, manager Yang explained that buyers will purchase some ginger to prepare for the holiday season, but since market supply is already quite sufficient, it is unlikely that farmers and traders with stock in storage will sell large volumes of ginger during this period. In addition, the pandemic creates uncertainty for Chinese ginger exporters as well. It is not just the reduced purchase volume from overseas buyers, but also the rising shipping cost and the shortage of shipping containers that makes Chinese exporters careful, even when they receive orders.

For more information:

Yang - Manager

Jinxiang County Jinhui Import and Export Co., Ltd.

Tel.: +86 537 879 1508 

E-mail: 227914178@qq.com 


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