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CN Garlic crop update
Harvesting of new crop garlic has started in China in the Henan province. Experts in the field tell us that the yield will definitely will be less compared to 2020. Jinxiang county (southwestern Shandong province) will start in some 2 weeks from now.
Also here the yield is foreseen to be lower compared to previous season. With Jinxiang being the main growing area this gives us a good indication of the total crop from China for this year. Prices have firmed up with 5-7% in a week’s time already. Exporters tell us that due to strong local demands they foresee room for further increases of about 20% during the coming weeks/months (abt. us$500.=/mt). The strong Renminbi and high freight rates are additional headaches for importers of (dehydrated) Chinese garlic.
We urge our customers to be in time for covering new crop requirements. Chinese garlic speculators are known for having deep pockets, some reports tell us that they have started building up positions already.
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