The production of Rehmannia glutinosa has been reduced continuously, and the floods may detonate the market

Rehmannia glutinosa is a famous traditional and commonly used traditional Chinese medicinal material in China.
It has a long history of application.
It has been exported to foreign countries since the 3rd year of Yongle in the Ming Dynasty.
It is an important commodity in the medicinal market at home and abroad
.
Henan in the middle of 2021 has been affecting the hearts of the people.
The flood fighting was just completed in July, and the battle against the epidemic was ushered in again in August
.
Under the influence of sudden floods and epidemics, the market for Rehmannia glutinosa rose by 60% in just half a month
.
What is driving the market for rehmannia glutinosa to rise? What is supporting the rise in the market for Rehmannia glutinosa? In this issue, Tiandi Yuntu's big data platform for the pharmaceutical industry made an analysis of the product market based on production and sales data
.

A variety Quotes
market: by the early storm, the market's attention on the yellow general increase, and more recently have businesses to actively organize supply, thus boosting the supply go sell significantly accelerated, market cargo operators reluctant to sell psychological strengthening, prices rise rapidly
.
The current market price of rehmannia glutinosa is 29-30 yuan (kg price, the same below), mixed-grade rehmannia glutinosa sells for 31-32 yuan, third and fourth-grade rehmannia glutinosa sells for 35-37 yuan, and rehmannia glutinosa slices are priced at 35-37 yuan.
At 34-38 yuan
.
Origin market: Shanxi mixed-grade rehmannia glutinosa is priced at 29-30 yuan, Shanxi third-grade rehmannia glutinosa sells for 31-32 yuan, Henan third-grade rehmannia glutinosa sells for 31-32 yuan, Henan second-grade rehmannia glutinosa sells for 32.
5-33.
5 Yuan
.

2.
Variety production area
2.
1 Growing environment
Rehmannia glutinosa prefers warm, sunny weather conditions, afraid of drought and water accumulation, the growth period is about 140-160 days, that is, planted in mid-April, and underground roots are formed in mid-to-late May, June and July The above-ground part grows rapidly, the underground roots swell rapidly in August and September, and gradually enter the dormant period in October
.

　　2.
2 Regional distribution
Rehmannia glutinosa is mainly distributed on the banks of the Yellow River in Henan, Shanxi, Shaanxi, and Shandong provinces in China.
In the past 10 years, it has also been introduced in Ningxia, Hebei and Gansu
.
Among them, Wuzhi, Wenxian, Mengzhou, Qinyang, Bo'ai, etc.
in Henan; Hejin, Ruicheng, Yongji, Xiangfen, Hongdong, etc.
in Shanxi; Chengwu, Dingtao, Heze, etc.
in Shandong, and Yaozhou District, Shaanxi.
Larger scale
.
Henan and Shanxi are evenly matched, each accounting for about 80% of the national output
.

　　3.
Market analysis
chart: Changes in Rehmannia glutinosa prices from January 2016 to July 2021.
As can be seen from Figure 2, from 2016 to the beginning of 2021, the price of Rehmannia glutinosa has been fluctuating around 10 yuan
.
The long-term low level operation has greatly dampened farmers' enthusiasm for planting.
Before 2019, farmers have gradually strengthened their psychology to abandon seeds
.
In 2019, production in various production areas began to gradually reduce, and national output was reduced by 10%-15%
.
Under the influence of labor costs and production reductions, the new output market that year steadily climbed to 11-12 yuan, but the small increase in the market still could not make up for the losses of farmers
.
In 2020, due to the national epidemic, most areas in the country did not begin to unblock until May, resulting in delays in the production of rehmannia glutinosa.
At the same time, farmers are still not motivated to plant seeds, and production is still shrinking on the original basis, and the national output is small.
Shrink 10%-15%
.
Although the main production areas such as Shanxi and Henan began to expand on a large scale due to the favorable market in 2021, due to the relatively empty inventory and increased capital hoarding, starting from May 2021, businesses across the country began to actively go to the production areas.
Organizing the supply of goods, the market began to rise steadily to 15-16 yuan
.
Picture: The national precipitation map from July 12, 2021 to August 11, 2021 (from the weather in China).
In July 2021, Henan has experienced continuous extreme heavy rainfall, and the rainfall in five local areas has exceeded the extreme value.

.
The growth cycle of Rehmannia glutinosa happens to be the rapid growth of the above-ground part from June to July each year, and the rapid expansion of the underground roots from August to September
.
The flood in Henan in July was just a key stage for the rapid growth of Rehmannia glutinosa.
The excessive rainfall caused the soil water saturation to be overloaded and "rotten roots" appeared
.
To a certain extent, this has led to a significant decline in Henan's output this year
.
According to preliminary estimates, the production of rehmannia glutinosa in Henan will be reduced by 30%-40%
.
Figure: The relationship between the production and supply of rehmannia glutinosa from 2018 to 2021.
As shown in Figure 4, starting from 2019, the production of rehmannia glutinosa in Shanxi, Henan and other secondary production areas has gradually begun to decrease, and production capacity has shown a downward trend year by year.
, The supply gap is increasing year by year, and the two show an obvious positive correlation
.
Among them, due to the extreme weather in Henan in 2021, the capacity and supply gap will be more obvious
.
Figure: 2018-2021 Analysis of Rehmannia glutinosa production capacity and demand gap Figure 5, starting from 2019, as the national production of rehmannia glutinosa is reduced, production capacity has been declining year by year, and the demand gap has shown an increasing trend year by year
.
In 2021, the decline in production capacity will be significant, leading to an acceleration in the growth of the demand gap, and the relationship between supply and demand has changed
.

　　4.
Supply and demand analysis
Rehmannia glutinosa is widely used, with its medicinal properties calm, cold but not sour, nourishing but not dry.
It not only clears heat and cools the blood, but also nourishes the yin and nourishes the kidney.
Therefore, it is the main raw material for a variety of prescriptions and Chinese patent medicines
.
According to statistics from Tiandi Yuntu's pharmaceutical industry big data platform, the output of Rehmannia glutinosa in 2020 was 20,150 tons, while the demand for that year was 26,100 tons
.

　　Fifth, the main demand for products and business analysis
in medicine the demand side of the platform to monitor the 7702 kinds of drugsTo screen, 1301 Chinese patent medicines currently on the market contain Rehmannia glutinosa (including raw rehmannia and rehmannia, the same below)
.
The most demanded Chinese patent medicines for Dihuang are Liuwei Dihuang Capsules, Liuwei Dihuang Pills, and Qingrejiedu Oral Liquid
.
Front of medicine enterprises were revised Pharmaceutical Group Co.
, Ltd.
Jiuzhitang, Fu Jen Catholic Pharmaceutical Group Co.
, Ltd
.

　　6.
Anticipation of the market outlook
Since 2016, the price of rehmannia glutinosa has been fluctuating around 10 yuan, and the long-term continuous low-price operation has caused serious frustration of farmers' enthusiasm for planting
.
By 2019, production reduction inventory has fallen, laying the groundwork for the subsequent shift in supply and demand
.
In 2021, although production has begun to recover rapidly, the inventory is empty and the extreme weather in July has caused the popularity of the habitat to gather rapidly.
Enterprises and capital are required to increase procurement efforts, and the market breaks through historical highs
.
Judging from the current market situation, the market outlook for Rehmannia glutinosa is expected to rise to a price of 40-42 yuan, and it may face a situation where there is no market in the future
.
When the final market will pull back and the extent of the correction, it depends on the decline in popularity and the assessment of the overall output this year before the new production
.