One of the more niche varieties in the Chinese medicinal market is the herb "Dujiaogan". While its sales volume is small, there has been a recent increase in demand. However, due to environmental damage and difficulties in harvesting, the price has been steadily rising. In fact, in less than a year, the market price has doubled to over 1500 yuan, making it quite noteworthy. So, what has been the price trend for Dujiaogan in 2018?
Image of Dujiaogan
I. Characteristics of Dujiaogan
Dujiaogan is an annual semi-parasitic herb that grows to a height of 10-30cm. The entire plant is covered in fine hairs. It has a single stem with few branches. The lower leaves are opposite, while the upper leaves are alternate. The leaf blades are linear or lanceolate, about 1cm long or shorter, and sometimes degenerate into scales.
The flowers are solitary and axillary, or they form a spike-like inflorescence at the top of the stem. The lower flowers are sparse, while the upper flowers are closely arranged. They have no stalks. The bracts are often longer than the calyx, which is tubular and 5-lobed, with 10 ridges on the lobes.
The corolla is yellow, red, or white, about 1-1.5cm long. The apex of the corolla bends sharply. The upper lip is short and 2-lobed, while the lower lip is 3-lobed. There are 4 stamens, which are enclosed, and a single-celled ovary. The style is long and rod-like.
The fruit is ovoid and enclosed within the persistent calyx. There are numerous seeds. The flowering period is in July, while the fruiting period is in August to September.
Image of Dujiaogan
II. Historical Market Changes
Dujiaogan was originally a folk medicine used in some provinces in southern China. Its miraculous effects in treating malnutrition and indigestion in children gradually gained recognition among traditional Chinese medicine practitioners through clinical practice. As a result, it spread and became more widely used in various medical institutions and entered the market as a medicinal herb. Its sales volume has been increasing steadily.
In 1998, its market price was around 48 yuan. It did not change much in 1999, but in the following five years, the market price gradually increased in a stepwise manner: 60 yuan in 2000, 70 yuan in 2001, 75 yuan in 2002, 80 yuan in 2003, and 85 yuan in 2004. In 2005, the depletion of wild resources became more prominent, and the market price rose rapidly, reaching 150 yuan that year. In 2006, it climbed to 250 yuan, and in 2007, it broke the 300 yuan mark. In 2008, the market remained strong, fluctuating around 300 yuan.
With increasing demand, the supply in the market became tighter. By the end of 2009, the market price had risen to 550 yuan and remained at that level until 2011. In 2012, it rose again to 650 yuan. In 2013, the market faced a shortage of supply, causing prices to skyrocket. In March, the market price exceeded 1000 yuan and later surged to 1500 yuan within a few months, doubling the price and attracting attention.
Image of Dujiaogan
III. Supply and Demand Analysis
Dujiaogan is a wild herb that grows mixed with other weeds and parasitizes the roots of other plants. Due to its small size and difficulty in collection, the growth environment has been shrinking and deteriorating due to continuous human development and the use of herbicides. As a result, the annual yield has decreased year by year. In the 1990s, the market in Yulin City used to have 15-20 tons of Dujiaogan entering each year. However, in the early 2000s, this amount decreased by half to only 8-10 tons. In recent years, the decline in supply has continued, with market availability dropping to between 3-5 tons.
In terms of demand, it is mainly used in formulas for treating children, and it has become a habit in some township medical institutions and clinics. With the occurrence of food safety incidents in recent years, people have become more concerned about the safety of medication for children, leading to a greater acceptance of traditional Chinese herbs. The demand for Dujiaogan has been increasing at a rate of 20% per year. The sharp decrease in supply and the increasing demand have become the main contradiction in the current Dujiaogan market. It is expected that the current situation of supply shortage will continue in the coming years.
Although some people have conducted experiments to cultivate Dujiaogan, it is difficult due to its parasitic nature on the roots of other plants. Therefore, there are currently no cultivated varieties available in the market.
With a little over a month until the new harvest, the market supply has almost reached a standstill. The current high price will certainly stimulate the enthusiasm of farmers to harvest, but it is estimated that it will still be difficult to find a large quantity of supply. Most of the wasteland has been developed, and the good days of harvesting several kilograms of fresh products are long gone. It would be considered good to harvest a few hundred grams now.
