China: Garlic price falls almost 8% from last year's high

The Market Information Center of the Ministry of Agriculture publishes the vegetable prices on the main Chinese distribution markets every day. It has shown that, at the end of November, the average Chinese garlic price was 9.85 yuan per 500 gram. This is a drop of 7.9% from the same time last year. Why did the garlic price drop so much this year? Kong Fantao, chief of the vegetable supply chain analysis team of the Ministry of Agriculture, believes that this is because of the expansion of the production area, the increase in production, and the growth of the garlic storage.

The new garlic season has just finished. It appears that the farmers are quite enthusiastic. Data has shown that the production area in the main regions has been reduced, but the production area in secondary regions has grown. Therefore, the overall production area will remain big. If there is no extreme weather, the 2018 garlic production could continue to increase. That is why the future garlic price is not looking hopeful.

Source: Economic Daily