As of the past December, the domestic ginger price has continued to decline. From November 2020 to December 2021, the wholesale price has continued to decline for 14 consecutive months.
In late December, according to the market data of Xinfadi in Beijing, the average price of ginger was only 2.5 yuan / kg, while the average price of ginger in the same period in 2020 was 4.25 yuan / kg, a decrease of nearly 50%. The data of the Ministry of agriculture and rural areas also show that the price of ginger is falling all the way, from 11.42 yuan / kg at the beginning of 2021 to 6.18 yuan / kg at present. For about 80% of the 50 weeks, ginger continues to be at the forefront of the decline of farmers’ products.
Since November 2021, the purchase price of domestic ginger has changed from slow decline to cliff diving. The quotation of ginger from many producing areas is less than 1 yuan, and some are even only 0.5 yuan / kg. In the same period last year, ginger from producing areas can be sold for 4-5 yuan / kg, and the terminal sales on the market even reach 8-10 yuan / kg. Compared with the purchase price in the same period of two years, the decline has almost reached 90%, and the land purchase price of ginger has reached the lowest point in recent years.
The double increase of planting area and yield is the main reason for the sharp decline of ginger price this year. Since 2013, the planting area of ginger has expanded as a whole, and the high price of ginger has continued for 7 consecutive years, which has improved the enthusiasm of ginger farmers. In particular, in 2020, the price of ginger reached a historical high, and the net profit of planting ginger per mu was tens of thousands of yuan. The high profit stimulated the growers to increase the area. In 2021, the national ginger planting area reached 5.53 million mu, an increase of 29.21% over the previous year. The output reached 12.19 million tons, an increase of 32.64% over the previous year. Not only the planting area reached a new high, but also the yield was the largest in recent 10 years.
Centralized listing and weather caused insufficient storage capacity, which also affected the price of ginger. In early October last year, it was the time to harvest ginger. Due to frequent rain, the time to harvest ginger was delayed, and some of the ginger that had not enough time to harvest was frozen in the field. At the same time, because the output of ginger is generally better than that in previous years, some ginger farmers have insufficient preparation in the ginger cellar, and the extra collected ginger can not be stored in the ginger cellar, which has been affected by freezing injury outside. At present, most of the new ginger on the market belong to this kind of ginger, and the price of this kind of ginger is very low.
The sharp decline in ginger exports also lowered the price of ginger in the domestic market. In recent years, the export volume of ginger has remained around 500000 tons, accounting for about 5% of the national output. At present, the epidemic is still spreading all over the world, and the export transportation industry is facing great challenges. The increase of shipping costs, the shortage of container supply, the delay of shipping schedule, strict quarantine requirements and the gap of transportation stevedores have prolonged the overall transportation time and greatly reduced foreign trade orders. According to the statistics of customs, the export amount of raw ginger in the first 11 months of 2021 was USD 510 million, a decrease of 20.2% over the same period last year, and the Netherlands, the United States and Pakistan ranked among the top three.
According to the analysis of insiders, ginger prices will still fall steadily next year due to oversupply in the market. The current supply includes the old ginger sold in 2020 and the new ginger to be sold in 2021. In addition, the surplus of old ginger in the main production area of Shandong and Hebei is more than that in the same period of previous years. Not surprisingly, ginger prices will remain low in the future. In terms of the average price of ginger in the market, 2022 will be the lowest average price of ginger in recent five years.
Post time: Jan-12-2022