The price of Chinese ginger has been has been in a downward spiral all year but the period between May and June saw a steady rise. This seems to have been mainly due to the owners of refrigerated storages deciding to focus on their profits. From last October until now, storing ginger in refrigerated storage was not profitable, so many owners were unwilling to accept it.
Since the middle of May, purchasers have started to buy produce. After the price rose dramatically in May, the high price suppressed the demand on the Chinese export market, decreasing the export volume. Moreover, the storage prices were raised in May, staying that way in June. Because the risk was very high, from the end of June until now, the refrigerated storage stopped. Many people do not dare to store the produce, because the demand is not high. That is why the price has just started to return to normal.
Source: CNR Network
