Prices for garlic fell slightly in August and the outlook remains bleak

One: the garlic market dynamic
According to the shandong province jinxiang garlic market for monitoring (August 21-27), grade garlic garlic last week average wholesale price of 4.76 yuan/kg, level up and new garlic garlic average wholesale price is $4.97 kg, dropped 4.14%, a slight drop in price of garlic, garlic garlic volume of 29805 tons, last week and the week garlic garlic volume of 35961 tons, fell 17.12%, the volume to drop, garlic garlic last week turnover is 141.8718 million yuan, up week garlic turnover is 178.72617 million yuan, fell 20.62%, garlic turnover fell sharply.
Ii. Dynamic analysis of garlic
Last week the garlic price from low to high running, but the overall average prices slightly down compared with last week, the average price level of garlic garlic by last Monday's 4.43 yuan/kg, up to the average price of 4.88 yuan/kg, Sunday rose by 0.45 yuan/kg, year-on-year increase rate of 12.70%, but the overall level of prices is still out of decline, because for weeks, garlic prices down, now the garlic in the germination period, both farmers and small dealers and large farming, are in a hurry to sell, but now the garlic price is too low, make the small traders lose money, the small dealers began to stop selling, or price sale, storage, due to storage under, need to continue to purchase, garlic prices down, not accompanying procurement.
The main reasons for the sharp decline in transaction volume are as follows:
1: after the garlic trade entered into the late trading, garlic farmers and small traders had less garlic stock, and the rush hour was over.
2: the recent environmental protection dispatching inspection in shandong province, jinxiang garlic processing enterprises of all went to the field processing garlic, local garlic production is also a shift production processing capacity reduced by half, outside package enterprises in the production of garlic, rent or processing fee has paid, garlic processing also have to continue to produce, but was not too big.
3: the domestic consumption market is not large, and still needs to be replenishment.
4: international market purchases have declined.
Iii. Forecast analysis of garlic
1: near the end of August now, the temperature will drop, garlic sprouts, to open up, garlic sprout period to come, now price close to the cost price of garlic, garlic farmers and small traders lose money do not want to sell, garlic cultivation is still more than a month of time, there is a certain amount of sales space, small dealers and investors began to stop selling garlic or hold price sale, sale of reduced activity.
2: the price of garlic now has broken through the purchase price of small dealers, and now sells garlic dealers to lose money.
Force the small dealer to put the garlic into the warehouse
3: garlic prices continue to decline, make the library in the middle of the price of garlic and garlic prices have a certain price difference, now purchasing Treasury, in the middle of the comprehensive cost is lower than purchase garlic put in storage now, have a competitive advantage, so part of the store business began to purchase garlic put in storage, large part also started a large number of procurement.
4: the inventory cost has risen sharply again, and even a difficult situation has occurred. The inventory fee is RMB 300 / ton, rising to 480 yuan/ton.
5: garlic slice processing enterprises resume production, but shift production, garlic slice processing consumes garlic is normal production 50% quantity.
In July, garlic exports 18.59 million tons, down 0.39 million tons from the same period last year, down 2.07 percent from the same period last year, and garlic exports declined slightly.
7: research remaining garlic quantity last week, some local garlic margin rarely, some local garlic allowance also many, mainly concentrated in the hands of small traders, and large farm hands, put in storage is still in progress.