After a year of Chinese ginger's 'dramatic quality' as BR Fresh Exotics' Rob de Jong puts it, in 2022, this Dutch importer focused on Brazilian, Peruvian, and Thai products in 2023. "That went well, but price-wise, China is, for now, the best in the market," he begins. So this year, it is back to business as usual. "The quality is good. Hopefully it stays that way."
Rob de Jong with Chinese ginger
Aside from 2022's disappointing quality - primarily due to adverse weather conditions - Chinese ginger is not an unqualified success story and faces several challenges. "Since our company's inception in 2012, we've always focused on China. However, that country's ginger quality has recently been declining, year on year. That's partly because of business practices, especially during the pandemic," says Rob.
"Then, considering what arrived, no Westerners were there to control things a little. And, perhaps, also partly (though I can't, using my common sense, makes scientific sense of this) because it's harder to achieve the right quality now that the MRLs are becoming increasingly strict. Organic from China, for example, was always trickier for us than conventional. So we stopped with that."
5kg packaging
According to the importer, other cultivation countries cannot nearly match this Asian behemoth's volumes, and some clients specifically request Chinese ginger. That is because of the lovely, large, distinctive yellow roots. "Peru supplies small roots, and the Brazilian variety is often blue because it contains an active ingredient. That, not to mention the strong fibers, doesn't appeal to everyone. We once brought in a pallet from India, which was even bluer," Rob explains.
ginger stock in warehouse BR Fresh Exotics
Air freight
You can import ginger from Brazil via air freight." But we don't. We're located in 'De Ambachtse Zoom', the first circular, greenest business park in the Netherlands, and that's difficult to reconcile with marketing flown-in produce. It's obviously an option for other importers if there's a market shortage and consumers go along with the pricing. Air freight costs more than sea transport, though not by much, now. A 13-kilo box of retail Chinese ginger sells for €42 to €46; for the product flown in from Brazil, it's €50. But later, when everything arrives on the market, sea freight prices will undoubtedly drop."
Tough stance
Chinese ginger growers and exporters struggled in 2022, not only because of disappointing quality but also because of the aftermath of high container tariffs during the pandemic. Because of that, says Rob, the Chinese took a tough stance if, upon arrival, the quality left something to be desired. "That was somewhat understandable because their margins had shrunk so much. But their attitude wasn't always fair. So at some point, you do start considering other market opportunities," he admits.
Brazil ginger
BR Fresh Exotics imports and distributes another 25 or so exotic products besides ginger. Those include garlic, sweet potato, yam, yuca, okra, mango, and limes. For that, it works with a few regular exporters in China. De Jong does not fear competition from Chinese companies continually coming into the Netherlands to take control of the ginger trade.
"Often, in the first year, they advertise with low prices to capture part of the market, but the quality is sometimes sorely lacking. In the following years they adapt and tweak their drying and storage process, which improves the quality. We dry the ginger ourselves. We do so at a slightly higher, precise level than what's done on average in the market. In that sense, there's not much competition."
Social responsibility
BR Fresh Exotics does not intend to become the biggest on the market. "We focus more on consistent quality, which leaves us plenty of room to do our thing," Rob reckons. "That proprietary approach also translates somewhat into social responsibility. Through the BR Fresh Foundation and our sister company, RJ Global Trading, we support several charities in the countries of origin, including Mercy Ships and the Mission Aviation Fellowship (MAF). That's not unimportant."
Besides the recent years' quality and logistical problems (ships have to sail around the Cape of Good Hope in South Africa), Rob points out another issue. This, too, is geopolitical and could well complicate future Chinese imports. "It may be doomsday thinking, but if China ever invaded Taiwan, there'll undoubtedly be sanctions. Those are almost always against agricultural products first. So, from that perspective, we're already looking beyond China for ginger," the importer concludes.
BR Fresh Exotics BV
Rob de Jong
rj@brfreshexotics.com
Kerksingel 2
2951 GE Alblasserdam
Tel: +31-78-7440015
Fax: +31-78-7440039
sales@brfreshexotics.com
www.brfreshexotics.com