Crazy Garlic: Stevedores Stir Fried Garlic To Become Millionaires

Zhang Hongyu finally turned the corner.

The doctor from Kaifeng, Henan, has been losing money for two consecutive years since he became a garlic salesman in 2007.

The $150 thousand invested has only been returned to 5000 yuan.

But that didn't make him give up.

He thought that the money he lost would never be recovered from his wages in the township hospitals.

By the end of the third year of this year, Zhang Hongyu has found that stubborn personality is very important to his life.

The 50 ton of wet garlic was 0.3 yuan / Jin when it was first acquired in May 20th, and it was 2.1 yuan / jin at the end of September when the outbreak of second wave a flu epidemic started.

7 times the price difference, let Zhang rain one guy earn 180 thousand hard.

Zhang Hongyu still regretted it very soon, because by November 18th, the trading price of the same specification garlic has risen by 3.5 yuan in the trading market of Jinxiang County in neighboring Shandong province.

That is to say, if he waited for another two months, he could make more than 140 thousand of the 50 tons.

But next winter, he seems to have a bigger chance, so long as the panic of the flu is not subsided.

Although the medical authority has clarified that the evidence of "eating garlic can prevent influenza a" is insufficient, it still can not curb the garlic craze among the people.

Therefore, garlic craziness is not acceptable.

This guy who had a wholesale price of only 4 cents a pound last year is now worth talking about.

Data from China garlic net show that in Jinxiang, Shandong, the main garlic producing area in China, the garlic price of 5.0m in diameter has risen to 3.75-3.8 yuan / Jin in November 18th.

The retail price in the Shandong farmers market increased to 5 yuan / Jin.

In Jinxiang, the legend of garlic warehouse stevedore and garlic fried into a millionaire has even been staged.

"Man is better than garlic."

In the garlic collection and storage business, their expectation is far from coming.

"At least 4 yuan per catty for sale."

Wang Xin confidently said.

Wang Xin used to run a book publishing company in Cangshan, Hebei.

After the outbreak of swine flu in May this year, he moved the same way as Zhang Hongyu.

In July, Wang Xin rented cold storage in Jinxiang County of Shandong and bought 300 tons of garlic locally.

At that time, the average storage price was less than 1.8 yuan / Jin.

This "Jiancang" price is very representative.

China garlic net survey shows that the average storage price of garlic stores this year is 1.5 yuan -1.8 yuan / Jin.

Zhang Hongyu is obviously more prescient.

When he began buying wet garlic in May 20th, the price was only 0.3 yuan / Jin.

"At the beginning of the year, I saw some data that the garlic planting area decreased by more than 35% this year compared with the previous year.

Zhang Hongyu told reporters in November 18th, and then in May, influenza A outbreak in the world, think garlic has the effect of sterilization, cold prevention, and more firmly believe that there will be a good market in 2009.

"Last year, the wholesale price of garlic fell, and the price of garlic fell to the farm. This year, the planting area of garlic in Jinxiang, Shandong province has been reduced by 1/3. The stock has changed from 1 million 580 thousand tons last year to only about 800 thousand tons this year."

China garlic net marketing manager Wang Hao, for example, this makes the market supply decline.

On the one hand is the sharp supply, while sweeping the world "rush garlic" trend.

It is believed that garlic can enhance immunity to influenza A, far more than Chinese.

"More than 80% of the countries that have trade relations with China this year are looking for garlic."

Wang Hao said that in the past years, the garlic imports in China had been restricted for 3 months or so, so that the curfew was cancelled this year.

Moreover, this year, many countries also cancelled the restrictions on importing Chinese garlic before they reached a certain level.

Indonesia, Philippines and other Southeast Asian countries, as well as parts of Africa and South America, have become the new hats of garlic in China.

According to Jinxiang County Economic and trade department personage introduction, garlic production, exports accounted for more than 60% of the country's Jinxiang County, nearly a month has more than 20 days, garlic exports per day in 5000 tons.

"Because of the reduction of production, the export volume of garlic in Jinxiang has been reduced by about 40% this year, and the value of export goods has risen greatly."

The Jinxiang economic and trade person said the price per ton of exports was $200-300 a ton last year, and it was all at $1000 this year.

This is not the first time garlic has been caught up in panic.

When SARS broke out in 2003, garlic had also recorded a record of 1 yuan a week from the 5 cents per catty to 1.7-1.8 yuan / Jin.

Today, this is a great sight.

The price of garlic under a stream is more than two times that of SARS in that year.

Rich garlic storeworker

The lowest price is the biggest demand induced by a flow, creating the most beautiful profit curve. Zhang Hongyu only got 8 days after the shipment. In May 28th, the wet garlic changed from 0.3 yuan / jin to 1.2 yuan / Jin.

At this time, it was the first time that the armour entered the country.

In July 20th, Zhang Hongyu collected dried garlic for 1.4 yuan / Jin. By the beginning of August, the price of dried garlic had gone up by 2 yuan.

"Garlic merchants are just as nervous as fighting, they are scramble for garlic."

Zhang Hongyu said he grabbed 130 tons of dried garlic.

The price of garlic per ton in mid November has risen by 2000 yuan compared with September 25th, which is nearly 1 times higher than that in mid July.

When garlic prices rose to 2 yuan / Jin, many speculators entered the cold storage of Jinxiang County for short-term speculation.

Wang Xintun, a garlic cooler, was greedy for Yang Lei's garlic.

"And several relatives borrowed 500 tons of garlic, 1.65 yuan / Jin, and at the end of last month, they sold at a price of 3.55 yuan per catty."

Yang Lei thought he was a pediatrician. According to him, after the Spring Festival last year, the 5 loaders in Yushan Town of Jinxiang County saw that garlic was very cheap. Several people were partners to buy more than 700 tons of garlic from the garlic traders in the market at the price of 0.12 yuan / Jin. In August this year, they sold out at 2.8 yuan / kg, and several loaders became millionaires.

Yang Lei is a renter of a garlic cold store in Jinxiang with a capacity of 1700 tons.

In Jinxiang, there are no fewer than 1000 garlic cold storage stores. "This year, all those who have made up their own garlic have made a profit. Without the garlic store, the owner can only earn an intermediary fee: they take the merchants to the cold store to see garlic, and a deal is made, with an intermediary fee of 20 yuan per ton."

This year, a sentence was circulated among the cold storage dealers in Jinxiang: instead of storing a library of garlic, it is better to buy 10 tons of garlic.

At the moment, Yang Lei sublets the cold storage to 5 garlic merchants, including Wang Xin.

"At the current price, they have already made more than 200% profit, but none of them is willing to sell garlic."

The spread of the global influenza A epidemic has become a psychological support for garlic traders to continue to raise their prices.

According to China garlic net, there will be a considerable market demand at home and abroad this year before Christmas and new year's day.

And if the stock of garlic falls below 400 thousand tons after the new year's day, the price of garlic will rise again until next March.

Wang Hao believes that according to the current situation of garlic trading volume, it is unlikely that garlic stocks will remain above 400 thousand tons after the Spring Festival this year.

Yang Lei is optimistic that if the inventory falls below 200 thousand tons after the Spring Festival, it will not be impossible for the warehouse price to rise to more than 7 yuan.

But Zhang Hongyu squeezed the rest of his stock even tighter, all of which are 6 quality garlic.

A few days ago, the seller came home, asking price 7200 yuan / ton, Zhang Hongyu's eyelids do not blink.

"I will not consider it if I do not rise to more than 8000 yuan per ton."

Unbalance of unexpected wealth

When Zhang Hongyu was making money, the garlic farmers at the initial stage of the industrial chain did not get any dividends.

A Jinxiang garlic farmer Shen Liang told the newspaper that this year he planted 6 acres of garlic and 2000 kg of dried garlic per mu. The average selling price is about 1.4 yuan per catty, and the cost of agricultural fertilizer such as fertilizer, garlic seed and film per mu is 800 yuan. When the labor cost is not deducted, the yield of garlic per mu is 2000 yuan.

"This year's garlic yield is the best in years.

However, if we want to balance our losses in 2008, we will have little money left.

Shen Liang said.