The new season of Shandong garlic began to be harvested at the end of May, and exports started in June. Due to the positive trend this year, the starting price of new garlic is high and the overall trend remains upwards, with frequent price fluctuations.
Shandong Xiangsheng Import and Export Co., LTD is mainly engaged in the export and sales of garlic and is currently busy with the sales and storage of new garlic. Wendy Qin from the company introduced the situation of the new production season: "The garlic in the new season encountered continuous rainfall during the harvest period, and some of the garlic was damp and moldy and had to be removed. Therefore, the amount of garlic that met the standard this season is less than before. It drives up the cost and the price is not stable."
"The price of new garlic will fluctuate every year when it comes to the market, but this year the range is larger, which is two to three times that of previous years. The overall price of the new production season maintains an upward trend. Taking Hybrid 5.5 as an example, the recent sales price is about ￥10600-￥10800/ton, doubled compared to the same period last year. However, the price is not stable, and the same price lasted for only two weeks, generally changing once a week, or even within a day or two. In previous years, this price increase and the frequent fluctuations only lasted for one month or less, but this year it has been the same since the end of February. Due to the high prices, the export volume in the new production season has dropped by at least 20% to 30% compared with previous years. In previous years, there were more orders in the new production season. This year, customers generally wait and see, and the number of orders placed each time is also relatively conservative."
"The latest trend is that the market seems to be calming down a bit. Prices were volatile in July and have been relatively flat lately, with less change. Compared with the previous period, prices began to fall in the past two weeks. This may also be the recent low price point, because the new garlic in the warehouse will be released soon, and the selling price will include the storage costs."
In view of the special situation of this year's garlic market, the market strategy of Wendy's company this year also tends to be conservative and prudent.
Shandong Xiangsheng Import and Export Co., Ltd. is mainly engaged in garlic from Jinxiang, Shandong and other production areas. The export market includes Europe, Central and South America, West Africa, North Africa, the Middle East, Southeast Asia and other places.