Following the Chinese New Year, the market typically sees a surge in Papagan supply from Sichuan, China. To strengthen food safety and quality management, authorities in Sichuan implemented strict regulations last year, targeting the use of deacidifiers and other chemical inputs while also enforcing controls on early harvesting.
"The introduction of strict regulations has had a strong deterrent effect," explained Mr. Li Yongqiang from Xinping Zhenxin Fruit Selection Factory, a company specializing in Papagan processing and sales. "In addition, this year is an off-year for Papagan, with production declining by more than 50%. As a result, compared to the past two years, the harvest season was delayed, and overall market supply has dropped."
Due to lower yields, many orchards have seen production shrink by nearly half, while some have experienced reductions of more than 60%. This has driven up prices by approximately 30%, with farmgate prices reaching ¥8 per kilogram. On the positive side, the dry weather has enhanced fruit sweetness, making this year's Papagan taste better than before.
Unlike previous years, when Papagan was a popular choice in the market, sales this season have been far from ideal. Both e-commerce platforms and traditional distribution channels have seen a sharp decline in volume, while traders remain hesitant to purchase at the production site. The overall consumption environment has weakened, with lower consumer demand for fruit. In addition, increased competition from other citrus varieties and lingering concerns over food safety have further slowed Papagan sales.
One major competitor is Wogan, a citrus variety harvested around the same time as Papagan and widely grown across multiple regions. This year, Wogan production has been particularly high in Guangxi and Yunnan, leading to an abundant supply and lower prices compared to previous seasons. The farmgate price of top-grade Wogan is nearly half that of Papagan, making it a more affordable alternative. With its strong sweetness and appealing taste, Wogan has become highly competitive in the post-Chinese New Year market, drawing consumers away from Papagan.
Adding to the challenges, food safety concerns have also affected consumer confidence. Last production season, online discussions surfaced about the alleged use of saccharin in fruit, sparking widespread public debate. In response, local authorities implemented strict regulatory measures, enforcing a severe crackdown at the farm level to ensure compliance. While these efforts have been largely successful, some consumers remain skeptical, leading them to opt for other fruits instead.
The Papagan sales season extends until June, and industry players remain hopeful that sales will improve in the coming months.
Xinping Zhenxin Fruit Selection Factory specializes in selling Papagan, Ehime oranges, and Ugly oranges from Sichuan, as well as Wogan, Chu oranges, and Mandarin oranges from Yunnan. The company's business covers citrus procurement, processing, and distribution, supplying wholesale markets and supermarkets.