The Mintec average November 2021 market price of Chinese origin ginger in Chicago, US, dropped by 18 % YoY to US$ 1.45/lbs. The downward trend continued into December, with prices falling to US$ 1.23/lbs on 8th December, down 23% compared to the same time last year.
The decline follows dropping prices in China, where the wholesale price descended to CNY 7.09/kg on 1st December, a decrease of 47% YoY and 7% month-on-month. The Mintec price of ginger in China sustained a 13-month-long bullish run, after peaking at CNY 14.73/kg on 28th October 2020.
The fall in prices is attributed to plentiful supply in China, following expansion in planted areas. The land devoted to ginger cultivation is estimated to have increased by between 10-30% YoY in 2021/22. Weather has also been generally favourable throughout the growing season, and yields are expected to increase YoY.
Ginger trade was relatively slow in China in November, and stocks started piling up with producers.
Source: mintecglobal.com
