In 2022, Shandong’s number of potato cold storage warehouses in its 13 provinces (Tengzhou, Feicheng, Jiaozhou, Pingdu, Shouguang, Juxian, Laiwu, Cangshan, Laixi, Changyi, Anqiu, Mengyin, and Huimin) shrunk to about 940 (approximately 692 warehouses less than in 2021, with a year on year [y-o-y] decrease of 42.40%), and the total warehouse tonnage diminished to roughly 550,600 tons (almost 317,800 tons less than in 2021, or a decrease of 36.60%).
After the above-mentioned 13 production areas and Shanting District are added, the total number of warehouses is about 1,071 (approximately 736 warehouses less than in 2021, or a reduced rate of 40.73%). Also, the 2022 total potato warehouse-in tonnage is about 668,700 tons compared with 2021 (a decrease of 357,200 tons, or 34.82% percentage), according to Sina Finance.
Judging from the final data, the market experts say that the warehousing volume in 2022 hit the lowest level since 2015.
According to Mysteel agricultural products stats, cited by the above-mentioned source, there are several reasons why the volume of Shandong cold storage in 2022 will be significantly lower than that in 2021.
To begin with, after several years of storage failures, storage companies’ enthusiasm has continued to wane this year.
Second, the price of Shandong potatoes in the new production period this year is higher than it was last year during the same period. In the purchasing and storage period this year, the average purchase price of Shandong new potatoes will be 0.32-0.34 yuan/kg higher than in 2021.
Finally, the frequent rains in Qingdao, Shandong Province, at the end of June this year, resulted in the loss of the majority of the supply of new potatoes produced under the plastic film. The commodity’s and storage values were greatly reduced. This year, when storage expectations were low, the actual storage volume in various locations was even lower.
Overall, under the favorable assumption that the planting area of potato production areas has decreased from south to north this year, the storage volume of Shandong cold storage has decreased significantly year on year. During the same period, supply pressure was low. Goods sales in Shandong are significantly higher than in the same period last year.
A source: https://www.potatobusiness.com
