Himfr Analyzes Vegetable Price Trends

Jun 23, 2010, 10:00 ET from Himfr.com

BEIJING, June 23 /PRNewswire-Asia/ -- Himfr.com, one of China's leading B2B search platforms with more than 30 B2B industry websites to its name, analyzes vegetable price trends.

Himfr reports that recently vegetables prices have caused people concern. According to the Agriculture Ministry's information, from last December to this April, the national vegetable wholesale price index has run above 160 points, year-on-year up 12 points; since the end of April, the vegetable wholesale market prices have come down in most places.

Himfr analyzes that this year the prices of vegetables are consistent with the previous year's trends, and the vegetable supply is adequate. Vegetable prices were high at the beginning of the year, but as temperatures rise and summer vegetables flood the market, prices have come down significantly. This situation will continue until winter.

This year's vegetables prices are much higher for the following three main reasons: First, the impact of severe weather. From the beginning of autumn and winter in 2009, the overall price level of vegetables has risen. This spring low temperatures continued, delaying the field vegetable growing season which in turn led to prices of vegetables staying at a high level. Second, some vegetable production have natural fluctuations: garlic prices shot up in the second half of 2009; vegetables have related price increases, which to a certain extent, boosted the overall level of vegetables prices. Third, production costs increased. As the price of the rural labor force, urea, plastic sheeting and other agricultural products increases, this has also largely increased vegetables production costs.

At present vegetable production has sound momentum, vegetables farming areas have increased steadily, and the market supply has security. With the temperature rising, the field vegetables come to the market -- especially some leafy ones with short growth cycles will quickly fill the space. Vegetable prices will decline further later this year. After the winter, vegetable prices will rebound again, and if there's not a major natural disaster, prices will not be as high as last winter.

(http://www.frbiz.com/catalog-01000000-1/agriculture.html )

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