"Conditions in Chinese ginger market will improve in October"

The new harvest of ginger from south China recently entered the market. The ginger harvest in south China is one month later than last year. The product quality is far from ideal. "The reason for this situation is a historical record of 58 rainy days in a row. The ginger plants suffered from disease as a result of these poor weather conditions. The production volume per hectare is estimated to have dropped by 20%-30%," said Mr. Ye Qiaowei of Fujian Fresh Trade Co., Ltd.

In addition to the poor product quality of fresh ginger, the product quality of last year's ginger currently in storage has people worried as well. Much of the ginger in storage shows signs of rot. More than 20% of overseas clients request refunds because the ginger showed signs of rot.

According to Mr. Ye Qiaowei: "The overall surface area devoted to ginger plantation reached its greatest record in the last 15 years. The harvest in Shandong began 15 days later than usual, and continuous rainfall affected the ginger, so that 70%-80% of the ginger in cold storage struggled with product quality issues. Everybody suffered financial loss, both planters and retailers."

Prospects in the export market are not much better. The current export price is much lower than around this time in previous years. There are several reasons, first among them the situation described above. Product quality is not good enough. Second, the ongoing pandemic affects distribution. There is a shortage of shipping containers and the shipping fees are still high. Third, ginger production areas across the globe enjoyed abundant harvests. The production volumes in Peru and Thailand are huge this year.

As for future prospects, according to Mr. Ye Qiaowei, "we think that the purchase price of seedlings will go up this year. The price of old ginger from cold storage is unlikely to improve, but in early October the harvest of fresh ginger from Shandong will enter the market, and then the price will rise. The price will go up because the overall surface area devoted to ginger plantation in Shandong this year declined by around 30%, and the production volume per hectare dropped by around 40%, so the overall supply volume will be much smaller than usual. We primarily plant south China ginger in Fujian and Yunnan. That is a different variety than the ginger from Shandong. The ginger from Shandong is juicier and not spicy, while the south China ginger is more tender and the flavor is stronger."

For more information:

Mr. Ye Qiaowei

Fujian Fresh Trade Co., Ltd.

Tel.: +86 187 6069 9693 

E-mail: 894058817@qq.com 


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