The low starting price of garlic in the export season has caused farmers to be reluctant to sell. With the recent increase in stockpiles, prices have risen slightly. A sales manager, she shared the recent garlic market conditions and market expectations for the next few weeks to FRESHPLAZA.
She first introduced the situation of the production area, "The weather in Shandong is sunny this season, and the dryness of the garlic is very good. It is large, heavy, and beautiful in color. Before, some buyers who specialized in importing large-sized garlic had difficulty finding raw materials. But this year, the proportion of garlic above 6.5# or 7.0# can account for about 30%, and it is not a problem for merchants who demand large-scale garlic."
"In terms of prices, the current garlic price is stable, with the FOB price around US$700/ton. Due to the low starting price this season, farmers are reluctant to sell, and the price has risen slightly recently. With the increase in storage in the later period, the price should continue to rise. A small spike in purchases is expected in the next month."
"Due to the high quality and low price of new garlic this season, many overseas markets began to rush to buy the first batch of goods. The low price stimulated sales, and some customers who had not been garlic for many years began to re-import." she said, "Although the epidemic has repeated, However, our epidemic control is very strict, there is no epidemic at present, and our goods can be shipped on time."
"The high shipping cost is still an important factor affecting the import of some customers. The current freight is about 10,000 US dollars/box, accounting for almost 1/3 of the total order value. Due to the high freight, some markets are starting to expand their acreage in their origins," she said.