China’s securities regulator has called for tighter oversight of agricultural commodity trading amid concerns that speculation could be driving an unusual surge in prices for staples ranging from garlic and ginger to iron ore and coal. Fang Xinghai, the deputy head of China Securities Regulatory Commission (CSRC), on Saturday said the market should be monitored and market participants made aware of the rising risks…Full Article: South China Morning Post Nov 2016
- From October 2015 to October 2016, according to the NDRC, Chinese wholesale and retail garlic prices have increased 90% and 67.9%, respectively.
- Over the past year (2016), according to an analyst at the Suning Institute of Finance, prices have increased for ginger (by 300%), some ingredients for traditional Chinese medicine (by 80%), cotton (by 20%) and sugar (by 20%).
- In April 2016, Beijing’s largest vegetable wholesale market (Xinfadi) was selling garlic at CNY 11.4 per kg [~US1.76 per kg].
- From July/August 2015 to April 2016 (past nine months), according to Jinan’s Bureau of Commerce in Shandong Province, garlic prices have increased 160% to approximately CNY 21 per kg [~US$3.24 per kg].
- From 2013 to 2014, China’s garlic cultivation area decreased by 10%.
- In January 2013, the EU member states of the United Kingdom, Italy and Poland reported that Chinese garlic was being smuggled into their countries in order to by the EU’s 9.5% import duty on garlic.
- In late 2010, Chinese wholesale garlic prices spiked to CNY 12 per kg [~US$1.79 per kg]. During this year, China produced 18.5 million MTs of garlic (80% of total global garlic output).
- More than 60% of China’s garlic production takes place in seven counties located in the Shandong Provincial region, including Jinxiang County. Garlic from this region is typically harvest in June and sold to refrigerated storage warehouses in September. Together with Shandong Province, Yunnan Province is another major garlic production area (harvests in May).