Market downbeat as first hairy crabs hit Chinese market on eve of holiday

As China’s National Day holiday approaches, prices of hairy crabs, one of the most popular seasonal gifts at this time of the year, are down markedly as the first batches are delivered to markets across the country.

Industry insiders predict that prices will fall further, citing higher production, shrinking gift-giving demand and weak household spending.

Businesses and wealthy individuals have long regarded hairy crabs, which are prized for their unique flavour, as an ideal gift for clients and officials. They have also served as an important gauge of consumer demand during China’s seven-day National Day “golden week” holiday, starting from October 1.

This year’s National Day break overlaps with the Mid-Autumn Festival, creating an eight-day “super golden week” that is being viewed as a litmus test for domestic demand – covering everything from retail sales and box office takings to spending on travel, dining and entertainment.

The first batches of hairy crabs hit markets across China last week, but market sentiment is downbeat less than two weeks ahead of the super golden Week.

Retail prices are down by about 20 yuan a kilogram (US$1.28 a pound) compared with the same time last year – when media reports said they ranged between 100 and 160 yuan/kg – and may fall further as deliveries gather pace, according to a report released online by Shanghai’s Jiading district government.

Hairy crabs, also known as mitten crabs, are palm-sized crustaceans named after their furry claws. Some of the most famous come from Yangcheng Lake in the eastern province of Jiangsu. The crabs are maturing earlier this year due to warmer climate conditions, with peak flavour expected late this month, rather than next month or later.

South China Morning Post