♪ i can't wait ♪
With regard to the heavy buildings, one would be surprised at the extraordinary $1,200 that it had seen, and would regret the sunset that it had experienced in recent years. It has been less than eight years since the price fell in 2018, and the price of $70 is now less than what it was when it was high. So, what is the current production supply and demand after so many years of price breaks? Will it be the turn of the day when a new life comes into play
I. The professional and delivery
More than a decade ago, heavy buildings relied mainly on the market for the supply of wild resources, and, as prices continued to rise, the production area pharmacists carried out disorderly excavations, along with a slow recovery in their growing life cycle, the depletion of wild resources and the failure of domestic sources to supply markets on a large scale, creating a situation in which supply was not sufficient. The situation rose tenfold from $120 in 2008 to $1,200 in 2018, creating a remarkable moment in the history of heavy-rise markets。
At the same time, while there was a marked increase in the pace of re-establishment, wild mutants were technically successful, except in the first few years when domestic commodities became marketed on a scale only after 2018-2019, as a result of growing enthusiasm among farmers in various production areas, the demand for seed seedlings and the re-emergence of produce as a source of breeding inputs. After several years of high expansion, heavy-rise production began to expand from the south-west provinces to most of china on the north-west and south-east coasts, with production rising. Market sources quickly shifted from supply to demand more than demand. In 2019, it fell to 750 yuan, in 2020 to 650 yuan, in 2021 to 550 yuan, in 2022 to 250 yuan, in 2023 to 200 yuan and in 2024 to 150 yuan. The market offer is now close to 80 yuan, which is 15 times different from the peak of 2018。
Figure
Ii. Growing from the past to the present is unsuspecting
The period 2017-2019 was a high-lighting time for the planting of heavy buildings, since, according to the circumstances of the day, the production of a large acres could yield between $300,000 and $400,000, and the temptation of daily prices to make millions of people dream of being rich. Even with such a high level of input, many productive areas were experiencing a massive expansion in the planting of heavy buildings. At that time, seed seed seedlings were in an unusually high state, with a maximum price of 5 yuan/stamp, with a seed price of 1,500 to 1800 yuan, with a single acre being planted at a cost of more than 40,000 yuan, and other sheds, fertilizers, artificially produced and processed, the investment of an a acre of land amounted to more than $100,000。
Unfortunately, heavy buildings are not common to large varieties, and annual demand is just under 3,000 tons, and continued and substantial supply output after 2019 has directly led to a collapse of the situation, and in recent years, while businesses have accumulated at low prices, they have not been able to withstand the pressure of the constant annual supply of goods。
In the past few years, the owners of heavy buildings have almost lost their blood, the buyers have not been able to sell them, and the source of the goods has become hot potato. Even though the drugs market exploded in 2023-2024 and low-priced heavy buildings were noted by the merchants, there is nothing that anyone can do about large stocks. By this year, the prices of the heavy buildings in bear city in the pharmaceutical market fell directly into double-digit areas, such as the abyss, a price that could not have been expected five years ago。
In addition to maintaining customary farming practices in some localities, many growers who had been trying to grow heavy buildings in previous years had withdrawn from the cultivation. The prices of seedlings at the production sites in both years had dropped to $0. 3-0. 4 per farm, 8,000-12,000 acres, plus the costs of shacks, fertilizers, weeding, management, later harvests, etc., conservatively invested between $1. 5 and 20,000 acres, 300-400 kg of acre, at current prices of $65-70 acre, if the farm owns land, owns it, has it, has it, has some profit in its own labour farming, and if it involves renting land or hiring, who loses it. In general, the cultivation of heavy buildings and common chinese medicine in recent years has become the same, and there are numerous risk factors of uncertainty, such as long growth cycles, large existing stocks, large land area and weak demand, which have resulted in the planting of heavy buildings in some production areas that are virtually unsettled。
Figure: cultivation bases in previous years
Iii. Current slow flow of goods
In the midst of the continuing decline in recent years, many merchants have seen their prices fall to a low risk of planting costs and high production costs in recent years, but heavy supply over and above demand continues to stow down what is believed to be a safe line of defense, and the continuing decline appears to have reached a bottomless point, with the recently lowest total of goods produced in the vicinity of $65, with more than 50 inputs returning completely to their level 20 years ago。
In the last two years, most of the owners of the heavy buildings have been in the position of the owner of the goods, but they have not been able to do so, with small demand and unstable demand on a demand-driven basis to reduce inventory risk, slow movement of goods from the production and market sources, and a gradual shift to a lookout for businesses。
It's a new building
Iv. The journey out of the valley must wait until stocks are effectively digested
Although there has been a recent increase in the availability of goods at the origin of the production area, depending on the volume of purchases at low prices, prices have not fluctuated significantly, and calm has been restored as the business leaves. While individual production areas have now begun to grow, new quantities will gradually be extracted in a month or so, and production is expected to continue at normal levels in recent years. As a result, social stocks will continue to outnumber demand and supply at a later stage, when new sources are folded, and the situation remains uncertain, although there will continue to be businesses who believe that low value is needed to build up, it will be necessary to get out of the valley before the stocks are effectively digested。
