Pu'er Tea Investment Analysis: Where will famous mountains and ancient villages go in 2020?
In recent years, the price of tea from Mingshan Ancient Village has soared, largely due to the increasing number of individual tourists visiting the tea mountains. Tea farmers have also changed from raw material suppliers to small traders who retail loose tea, and also provide certain tea pressing services. The gap between wholesale and retail is getting smaller and smaller and has been for a long time. But this year I'm afraid this status quo will be broken. Tea merchants will never purchase raw materials at prices close to retail prices, because when all costs are added together, there is a high probability of losses. Although it can be used as inventory, the inventory is already at a high level. If we blindly increase the amount, the risk of embankment collapse will also increase. Without a large number of individual tourists, tea mountains will change from a seller's market to a buyer's market. The overall Pu'er tea market in 2020 is still unclear, so tea merchants will be extremely cautious in purchasing raw materials. The price does not have enough profit margin, and it is difficult to make a decision to purchase in large quantities. After all, the cash flow of the entire industry is not abundant now. For tea farmers in famous mountains and ancient villages, they may be sad because of the drop in the price of raw tea. But there is one fact that cannot be changed. Even if the price of Mingshan Ancient Village is cut in half, it is still much more expensive than other production areas. As a tea farmer, even if we encounter the worst years, our lives in famous mountains and ancient villages are always the best. Just like in 2007, the Pu'er tea market collapsed, but Zhaizi, represented by Lao Banzhang, could still sell it at a high price of 200 yuan/kg. So don't worry because of possible price declines. The rise and fall of tea is a reflection of the laws of the market. This epidemic is a test for the entire Pu'er tea market, including tea farmers living on the tea mountains. Don't just see the decrease in profits caused by the decline in Maocha prices. How to promote famous mountains and ancient villages is the top priority. In order to promote their products, merchants will launch free drinking activities, and tea farmers can also learn from these ideas. It would not be a bad thing if we could take advantage of the drop in the price of Maocha to launch a wave of activities where good tea is also very cheap. You must know that the core of famous mountains and ancient villages is popularity. It is the title of "Tea King" that makes the tea farmers in Lao Banzhang Village rich. It is the promotion of the concept of ancient tree tea that makes those who own ancient tea gardens gain both fame and fortune.
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