Import history hits a new record——Analysis of China's licorice trade in 2011

Licorice is a key product of China's protection, and it is one of the country's export quota management products. It is widely used in medicine, food, cosmetics, cigarettes and Other industries, and the global demand is increasing day by day. In addition to our country, some countries in the Middle East, Central Asia and Eastern Europe also have abundant licorice resources. In recent years, China has begun to import licorice from the above countries, and imports have increased year by year. In 2011, imports reached a record high of 10,659 tons.

In 2011, China's total import and export of licorice (excluding licorice products) was 13,960 tons, an increase of 71.18% year-on-year; import and export volume was 28,233,300 USD, an increase of 57.07% year-on-year. Among them, the import of licorice showed a trend of volume and price rising. Imports amounted to 10,659 tons, an increase of 123% year-on-year; import value was 10.12 million US dollars, an increase of 160% over the same period of last year. Licorice imports account for 76% of China's imports and exports of licorice, and licorice has become China's second largest variety of imported Chinese herbal medicines.

Policies Encouraging Licorice Imports From the perspective of importing regions, Turkmenistan, Uzbekistan, Kazakhstan, and Azerbaijan in Central Asia are the main regions for the import of licorice in China. In addition, China also imports a small amount of licorice from Pakistan, Tajikistan and Afghanistan. According to statistics from China Customs, in 2011 China imported licorice from Central Asian countries accounted for 80% of total imports. Among them, Kazakhstan and Azerbaijan have the fastest growth in imports.

Licorice resources in our country are in short supply. Although artificial licorice has been added to supplement it, it still cannot meet the needs of domestic and foreign markets. In contrast, western countries such as Uzbekistan and Turkmenistan have rich wild licorice resources and have good quality and are favored by domestic manufacturers.

In order to alleviate the shortage of licorice resources, China has implemented relevant guidance policies since 2008, and it has exempted imported licorice from tariffs. It has also granted quotas for importing licorice companies on the distribution of export quotas, which has greatly mobilized the enthusiasm of companies to import licorice. In 2011, there were 23 importers of licorice in China. Among them, there are 13 privately-owned enterprises, accounting for 71.46% of the import value; 2 companies with “three types of funds”, and 18.20% of the import volume; and 8 state-owned enterprises, the import volume accounted for 10.34%.

Export prices rose year by year In 2011, China's exports of licorice were 3,300 tons, a year-on-year decrease of 2.25%; the average export price was US$5.49/kg, up 31.53% year-on-year.

From the perspective of export regions, Japan, South Korea, China Taiwan, Germany, and the United States are the main regions for China's licorice exports. According to statistics from China Customs, in 2011, China's exports of licorice products to Asia amounted to 16,063,500 U.S. dollars, an increase of 35.73% year-on-year, accounting for 88.71% of China's total exports of licorice. China's exports to Japan and Indonesia have increased by a large margin, and the prices of licorice exported to Japan and the Netherlands are relatively high.

At present, China's licorice export enterprises are mainly private enterprises. In 2011, China's privately-owned enterprises licorice exports amounted to USD 7,398,500, which represented a year-on-year increase of 16.37%, accounting for 40.86% of the total licorice export value of the country; the licorice exports of “triple-funded” enterprises and state-owned enterprises accounted for 29.37 of the total licorice exports respectively. % and 29.77%.

Supply exceeds demand to push up the price of licorice licorice has a "nine nine grass," the reputation of its underground root medicine, there are Qingrejiedu, cough and phlegm, spleen and stomach, to reconcile the various drugs and other effects. Western medicine uses its taste and flavor. Licorice is still the main raw material of more than 100 proprietary Chinese medicines such as compound licorice tablets. In recent years, medical research has also found that licorice has significant effects on weight loss, anti-cancer, and anti-AIDS. The use of licorice has thus steadily increased. With the continuous deepening of the research on licorice, the development and utilization of licorice in the non-pharmaceutical industry is also growing. At present, licorice is widely used in the food, daily chemical, tobacco, petroleum and dye industries in addition to the medical and healthcare industries. The market demand for licorice has been increasing year by year, and its market prospects have become wider and wider. According to statistics, at present, China's annual demand for licorice has reached more than 60,000 tons.

At the same time, the shortage of licorice resources has become a worldwide problem. Although the artificial cultivation of licorice has made breakthrough progress in many key technologies, there are still many problems such as low content of active ingredients, unsound quality assessment system for medicinal materials, and imperfect cultivation techniques, which have hindered the licorice plantation industry. Development has also led directly to the popularity of licorice in domestic and foreign markets in recent years, and the price remains high.

With the large market demand, the import volume of licorice has gradually expanded in recent years. China has implemented very strict inspection and quarantine on imported licorice. In addition to the quarantine of pests and diseases and weed seeds, we also need to carry out tests on pesticide residue and heavy metal content.

In 2010, Japan's Mitsubishi Plastics revealed that there is little difference between the medicinal properties of the licorice cultivated by the company and the medicinal properties of licorice produced in China. As a famous chemical company in Japan, Mitsubishi Plastics Corporation began to adopt factory-planting after researching the habit of licorice. The production cycle is one and a half years, which is much shorter than the natural growth period of licorice in China for four years. Although China's artificial cultivation of licorice has made breakthroughs in many key technologies, there are still many problems to be solved. For example, the quality and quantity of high-quality licorice seeds are difficult to guarantee. Licorice seeds are mainly collected in the wild, and there are fewer and fewer wild resources, resulting in less and less seed collection. Another example is the licorice production cycle of 2 to 5 years, during which a large amount of fertilizer, pesticides, management and other costs, and licorice cultivation technology is very high, from seed processing, to sowing, field management, the need to establish a complete technical management system Wait.

The industry believes that in order to protect and develop the licorice industry, the relevant state departments should further formulate a series of preferential policies to encourage licorice production, support the cultivation and production of licorice from the aspects of capital, technology and talents, so as to protect the limited wild resources. Promote licorice production to meet the growing market demand.

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