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China: Vegetable export prices down

"In comparison to last year's season, export prices of non-storage fresh vegetables at this stage are decreasing. This is closely related to a general fall in vegetable prices that recently took place in China, and for which there are three main reasons. Firstly, in summer vegetables grow faster, growth cycles are shorter, which leads to a short-term rise of vegetables supply. Secondly, cereal crops have shown themselves to be unprofitable, therefore farmers have decided to use this land to plant vegetables and so the acreage of vegetables has increased. The third reason is that the harvest season in southern China is over, so the high costs of transportation will be deducted from the vegetables cost. Products like ginger and some other stored vegetables, on the contrary, are getting more and more expensive because of market speculations," says Zheng Ying Hua from Zhonglian agricultural products (Qingdao).


Mr. Cai, CEO of Zhonglian agricultural products (Qingdao) Co., Ltd, in a cabbage greenhouse


Onions plantation

"As an enterprise that combines growing, processing and exporting vegetables, 50% of the vegetables we supply come from a farm in Shouguang city, Shandong province. The other 50% comes from our partner farms in Hebei and Hunan provinces. We are offering a wide variety of vegetables such as onions, carrots, cabbages etc. At this moment, through a traditional trade model, we are exporting 70% of our fresh vegetables under our own brand 'Green Diamond' from ports in Qingdao, Xiamen, Shenzhen, Tianjin, Rizhao and Lianyungang to Japan, South Korea, other Asian markets, as well as the United States, Canada and other developed countries. The other 30% are sold to the supermarkets and wholesale markets in Chinese cities that rank first and second in their level of development."


Mr. Cai, CEO of Zhonglian agricultural products (Qingdao) Co., Ltd, on a white radish field


Packed carrots are ready for export

"In the last few years, the popularity of fresh vegetables from China on overseas markets has been increasing year by year, mainly due to the better quality of Chinese vegetables and lower prices compared with overseas vegetables. This is the reason for an ever-increasing number of vegetable exporting enterprises. In order to win over reliable customers, export companies one by one have entered a price war. This situation has already persisted for too long, which not only affects the financial profit and the quality of products, but also makes Chinese vegetables less competitive on the foreign market."

Zheng Ying Hua
Zhonglian agricultural products (Qingdao) Co., Ltd.
Telephone number +86 137 0899 9102 
Telephone number +86 532 8506 2072 
Company e-mail unifruit@vip.163.com



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