A set of cold chain logistics workshops of Fujian Alpine Agriculture Company will come into operation in December in Pingnan county, Fujian province.
With an investment of 30 million yuan ($5 million), the workshops cover an area of 35 mu (2.3 hectare) and feature storage, processing and sales. They can process 4,000 tons of fruit and vegetables daily into fresh-care, fresh-cut, quick-frozen, and dry products.
Alpine vegetable cultivation is a pillar industry in Pingnan, whose average altitude of 830 meters fits well with the growth of alpine vegetables. Pingnan's alpine vegetables covered an area of 10,500 hectare in 2013, and created an output value of 500 million yuan with a yield of 300,000 tons.
Bad weather is the main threat for vegetables. Farmers in Pingnan suffered from heavy rains and slack market conditions in 2012 and 2014, when the price of cauliflower plummeted to 0.4 yuan per kilogram.
Cold chain logistics will solve the biggest problem for vegetable planters by purchasing the vegetables 10 percent higher than the market price and storing them for half a month to avoid the bleak period and wait for an about 25 percent price increase. Cold chain logistics can benefit both farmers and the workshops.