Demand for early batch of spring green tea drops
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Each kilogram of Longjing tea comes from at least 2 kg of fresh tea leaves. |
"The early batch of spring Longjing tea is mostly purchased at government expense as gifts or to entertain guests. The national policy does not allow them to purchase such high-end products, so we won't store much from tea growers," he said.
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Ma said his company booked a very small amount of early batch of spring tea this year.
"We do not plan to go on purchasing the tea unless there are orders from our clients," he said, adding that it is common practice among most tea trading companies in the city.
The decrease of demand and its collateral consequences have led to disappointment among tea growers.
Fang Chaxiang, a tea grower in Meijiawu, said all her year's expectations was the sales season of early batch of spring tea.
"It is the most important season for us tea growers, and our yearlong efforts count on it. As the market shrinks, profit becomes thinner," she said.
Fang said each kilogram of Longjing tea comes from at least 2 kg of fresh tea leaves. It takes one worker three days to pick 2 kg, and the wage of a worker is at least 250 yuan a day, or 750 yuan for three days. Other costs like fertilizer add up to 350 additional yuan per kg.
"If the price remains around 2,500 yuan per kilogram, the profit of each kilogram is only 1,400 yuan. My whole family is working on growing tea and the income of this season is supposed to account for at least 70 percent of our annual income," she said.
