Market Trends of China Lime Industry
Caters to various Industries
Lime is used as one of the key raw ingredients for many food processing and other industrial application. Certain pickles and juice processing industries procure lime consistently by lime producers. Lime is extensively used as an important ingredient in cosmetics, essential oil and pharmaceutical industries for manufacturing products. Therefore, to meet the growing demand from these industries, the production of lime has increased in recent years.
The lime-based ingredient used in drinks, food, and confectionery contain a flavor quite distinct from that made from lemons. This unique taste of lime makes it a majorly demanding citrus fruit and therefore is in great demand among the Chinese beverage companies.
Also, lime rind contains a limonene chemical compound, an essential oil that is widely used in the oil and cosmetics industries. Thus, Chinese cosmetic manufacturers are widely adopting such ingredients in their cosmetic production. Thus, the demand from these industries is positively impacting the production of lime in the country.
China Emerges as One of the Major Lime Exporters to Various Countries
There is a high demand for China's lime and other citrus fruits in export markets. To meet the constantly increasing demand, the country exports a good amount of these fruits to other countries, as China is producing a considerable amount of limes in the country itself.
The United Nations Statistics Division-commodity Trade Statistics Database reported that the countries, such as the Philippines, Hong Kong, Malaysia, and Indonesia were the major importers of limes from China in 2021, accounting for USD 31.3 million, USD 13.4 million, USD 10 million, and USD 7.0 million, respectively. With the trade war and the import tariffs that the United States is setting, it is unclear how the market will develop over the forecast period. Thus, the overall lime production and thereby exports are expected to increase, as Chinese producers are benefitted from favorable weather, the diminished impact of citrus greening, and increased yields in younger orchards, especially in western China.
