China's Herbal Medicine Plagued by Inflation

China's Herbal Medicine Plagued by Inflation
By Michael Bristow BBC News, Anguo, Northern China

At the Central Trade Hall in the city of Anguo there are hundreds of stalls selling unusual products - tree bark, wild flowers and roots.

Many of them have unusual names, such as Baikal Skullcap and Pagoda Tree.

These products are all used in traditional Chinese medicine and are on sale at the country's largest market for medicinal herbs.

It is an ancient industry that is currently grappling with an age-old problem: inflation.

Medicinal herbs have on average nearly doubled in price over the last year. Some particular ingredients have gone up even more.

Expect Chinese Herb Prices to Rise

Chinese herb prices continue to rise due to crop failure's and pressure from the US Government. The United States says China's yuan is undervalued which makes their products unfairly cheap.
Here's another article about the rising prices: China sees soaring medicinal herb prices.
In any event be prepared to see frequent price increases in the product you buy.

Herb Prices Soar

SINGAPORE, Dec. 28 (Xinhua) -- The prices of most herbs used in traditional Chinese medicine (TCM) rose by 30 percent this year in Singapore.

Local herbs wholesalers contribute the price increase to the stronger Chinese currency and herbus supply shortages, local English daily the Straits Times reported on Tuesday.

The supply shortages are the result of major natural disasters which wiped out swathes of herbal plantations in China.

The prices of over 25 percent of herbal medicines have more than doubled in the second half of the year. For instance, the honeysuckle flower, or jinyinhua, which is used to relieve colds, costs as much as five times more than it did last year.....

For more info see: Traditional Chinese medicine herbs prices surge in Singapore

Chinese Treasures on Auction

Chinese treasures make up the bulk of auction at Sotheby's. See

http://english.peopledaily.com.cn/90001/90782/7234570.html

Prices of Chinese Herbs will continue to rise

... Chinese consumers have recently been forced to wrestle with market distortions that have triggered huge advances in commodities such as ginger, garlic and medicinal herbs. ...

To read the full article see: Chinese Jittery over red-hot prices

Peace Prize?

Why is it that Liu Xiaobo gets the Nobel Peace Prize for speaking out for democracy in China and wikileaks Julian Assange is considered the USA's number one enemy for speaking out for democracy?

Prices of Chinese Herbs Increase

• Friday 2010-12-10 12:33

December 10 -- Shanghai raised the prices of Chinese medicines by about 44.06 percent yesterday, reports Yicai.com, citing Huo Guiming, manager of Shanghai Qunli Herbal Medicine Store.

Huo said there were price hikes in August and September due to the increasing cost of raw materials for Chinese medicines.

According to data published by the China Association of Traditional Chinese Medicine, the prices of 459 kinds of herbs were raised in October, accounting for 86 percent of the total amount, of which the price of Taizi ginseng surged 612 percent.

Huo added that the tough weather conditions played an important role in the current price hike.

Besides the above factors, Liu Sheng, manager of Yunnan Lvsheng Pharmaceutical, attributed the current price hike to the increase in the prices of agricultural products.

Shares of Beijing Tongrentang (600085), a Chinese medicine producer, gained 1.88 percent to close the morning session at 36.28 yuan.

Source: CaptialVue News