News & Updates

Garlic Prices Will Increase In US and China

by | Aug 17, 2021 | Garlic, Garlic Prices, Spices

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With 20% of the yield being harvested for FY 21 after it started in the first half of July in the US, it is
reported the production acreage was higher than last year. However, the yield has been adversely
impacted in the desert region and Arizona with water management restrictions and drought.

This has been to an extent recovered with better yields in the Central Valley of California. But the
prices will increase for garlic in the US with the labour issue, which was quite evident during the
harvesting time and now during the packaging.

The growers across the US have increased the price of garlic due to all these challenges, along with a
shortage of crop return for FY 2022. Furthermore, it is reported that the price for granulated,
minced, and XLB garlic will be up till the third quarter. The price will be eventually determined by the
new crop inventory later this year.

The case is similar in China, with an increase in price by 20 to 25% despite the harvest being
completed in May and June 2021. The price rise is the result of 15 to 20% low production in the
Shandong Province.

Despite the situation, the sentiment is bullish in the Chinese garlic market since the demand from
North America has increased. Most importers of garlic from China are stepping up to secure the
inventory as the prices are likely to go higher in the coming months. The chances of prices lowering
are very less.

This entire situation can be beneficial for India as it has stepped up the export of garlic since 2017
with the shrinkage of export

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