Yunnan Medicinal Herb Prices Increase By 30%

David Nealis President Blue Bridge

Yunnan Medicinal Herb Prices Increase By 30% 

Prices of more than 200 Chinese medicinal herbs from Yunnan province China have gone up an average of 30 percent from the same time last year because of an ongoing drought in the region that has decimated Yunnan farms for the third straight year according to a report in the Beijing Times. Yunnan is a major supplier of Chinese medicinal herbs for the PRC.

This directly affects the cost of traditional Chinese health care as well traditional foods that contain medicinal herbs.

Drought and Low Temps Could Affect China’s Crops This Year

David Nealis with Corn Crop

China is expecting more unfavorable weather this year compared to last year and wider the Agriculture Ministry said.

A major possibility of a “severe spring drought” was foreseen in area including the northeast of the country, the country’s corn and soy bean belt, while lower than normal temperatures were expected in parts of the northeast, which could delay plantings of the crops according to a report on the Agriculture Ministry website.

So this week we saw the Chinese purchase over US$ 10 Billion in US Soy products , if the corn crop in China is not sufficient to their needs I believe we could see another large order for US corn from the Chinese similar to the one we saw this last fall.