The wholesale markets in Korea have a different system than other countries in that all fruit and vegetables must to reported and sold under three conditions. Firstly, firstly by auction, secondly individual wholesalers can bring volume to the wholesale market with their own negotiated price to growers, importers, middlemen, etc, yet this must be reported to the wholesale market company, the price evaluated and the commission charged. Thirdly the wholesale market runs volume itself.
Korean grower, importer, and exporter Daemyung Farms Corporation supplies wholesale markets in Korea with imported produce.
"The products that are most in demand for the coming Chinese New Year are apples, pears, mandarins, as well as cabbage, cucumber, and potatoes, explains Nick Lee from Daemyung Farms. "These products are in season and the peak of production; however, due to adverse weather conditions, production is very low on the mentioned products, driving prices high."
Generally, Korean people celebrate ancestral rites, called Jesa in Korean, this takes place on the anniversary of the ancestor's death or on New Year's Day with a memorial service where fruits and other foods are placed on the table. "Families gather and also gifts of fruit and vegetables are given with value more than 30 dollars per 5kg box. These are gaining popularity all the time. Furthermore, Shinemuscat grapes have started to gain popularity as a gift fruit."
All popular fruits are packed in special gold packaging for gifting as gold is seen as a good luck color in Korean culture.
"The weather in Korea has been colder than normal and there has been rain which has had an impact on the fruit harvests, this has been the same for in other countries e.g. mangoes from Thailand, and strawberries from Japan. The adverse weather has had an impact on fruit production worldwide."
Increased range of products
Daemyung Farms recently expanded its range to include blueberries, citrus, kiwifruit, and some vegetables.
"Our blueberries are all pesticide-free and organic, which means our price is higher than some Latin American suppliers who offer conventional fruit, this has led to a challenging market, but we have been able to sell into the high-end market, with the concept of healthy fruit, so we are maintaining its value. We have just started with kiwifruit and are looking forward to our first harvest in two weeks, as well as citrus exports.
"Vegetables are facing difficulties due to many delays of vessels within Asia and frequently the shelf life of vegetables such as mushrooms is just too short. We are open to discussing with buyers to resolve this issue, and may look at air trials."
For more information:
Nick Lee
Daemyung Farms Corporation
Tel. +82-70-8859-0672
[email protected]