Summary of Key Points
This report focuses on a sudden disaster in the main domestic jasmine-producing areas: In early July, the region experienced continuous rainy weather, which significantly reduced the quality of the jasmine flowers. As a result, the purchase price dropped to just over 3 yuan per pound, far below the normal levels of previous years. Jasmine farmers found themselves in a loss-making situation where the cost of harvesting the flowers was not even covered. Subsequently, the typhoon "Metsak" brought heavy rainfall, which caused the collapse of the Liuluan Reservoir, flooding nearly 100,000 acres of jasmine fields. This affected more than half of the total jasmine cultivation area in the region, severely damaging the production capacity. Reporters visited the entire industry chain within a month after the flood receded, documenting the self-rescue efforts of farmers, middlemen, and processing plants, and also highlighting the long-term连锁 effects of this disaster on the entire jasmine industry.
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Detailed Explanation in Plain Language
1. Farmers were already losing money before the disaster: A price of just over 3 yuan per pound couldn't even cover the cost of harvesting
Jasmine is known to be a delicate flower that needs to bloom on sunny, hot days to produce high-quality petals with a strong fragrance, essential for making jasmine tea. During continuous rainy weather, the flowers become waterlogged, with high moisture content and weak or no fragrance at all, making them unsuitable for tea production. In normal years, average-quality jasmine could be sold for at least 5-6 yuan per pound, while better-quality flowers could fetch over 10 yuan. The cost of harvesting one pound of jasmine is more than 2 yuan, and adding in the costs of fertilizers and maintenance, a purchase price of 3 yuan per pound results in a loss for the farmers. Many simply gave up harvesting, hoping for better weather to produce high-quality flowers and recoup their losses, only to be hit by the flooding before they had a chance to do so.
2. Flooding 100,000 acres of fields means more than just a temporary decrease in sales; production will be disrupted for a year
Many people think of jasmine as a crop like rice, which can be replanted in the spring and harvested in a few months. However, jasmine is a perennial shrub that takes 2-3 years to reach its peak production. Over 90% of the plants affected by the flood had their roots damaged, and even if the water recedes, they may not survive. Even if new plants are planted immediately, it will take at least the second half of next year to produce usable flowers for tea. This means the entire main production area will face a supply shortage of at least six months to a year. This region supplies over 80% of the country's jasmine, so the loss of half of the cultivation area results in a significant reduction in national jasmine supply.
3. Within a month after the flood, everyone in the industry chain was racing against time to save themselves, each facing unique challenges
The typical post-disaster response is to harvest the remaining crops, but this time it was different:
- Farmers immediately went into the knee-deep mud to remove the silt and dig out dead plants, pruning and spraying disinfectants on the surviving plants. Some even rented land in unaffected areas to plant new seedlings before winter, hoping to have flowers available for next year's harvest.
- Middlemen, who usually have long-term contracts with tea factories, faced huge penalties for failing to deliver. They traveled across China to purchase jasmine from smaller production areas in Yunnan and Fujian, even if the prices were twice as high, to fulfill their orders.
- Processing plants that mix jasmine with tea to infuse it with fragrance had to use last year's dried jasmine and adjust their production lines. They switched from producing high-end tea with multiple infusions to lower-quality products to maintain their orders with long-term customers.
4. The impact of this disaster will be felt by consumers in the next six months
The change in jasmine tea availability will be immediate. Low-priced jasmine tea (99 yuan for 3 pounds) will likely be made from last year's flowers, with reduced fragrance or synthetic additives. High-quality tea made from this year's flowers will be more expensive, with prices rising by 20%-30% due to the doubled raw material costs. Other jasmine-derived products, such as scents, lotions, and sachets, will also see price increases. The supply of fresh jasmine will remain low for the next six months, as those with access to good flowers will have no difficulty selling them.