Struggles of Wisconsin's Ginseng: A Root of Trade Wars and Competition
The ginseng industry in Marathon County, Wisconsin faces challenges due to US-China trade tensions, a slow Chinese economy, and cheaper Canadian competition. Historically profitable, the region known as 'Napa Valley of American ginseng' now struggles with profitability as costs soar and market dynamics shift.
In the cool woodlands of central Wisconsin, soils enriched with mineral deposits from the Ice Age have made the region a perfect haven for cultivating ginseng, a medicinal root revered for its health benefits. Nearly all U.S. ginseng hails from Marathon County, Wisconsin, producing roots with a rich flavor akin to the 'terroir' found in premium wine regions.
However, the trade landscape has grown harsher. U.S.-China trade tensions, coupled with a lagging Chinese economy and fierce competition from Canadian supplies, have heavily impacted the sector. Once flourishing, producing $14.7 million in exports to China in 2024, the industry now finds itself battling to survive amid rising costs that have driven many growers out of business.
Wisconsin's ginseng industry continues to grapple with the ripple effects of a global trade war. The once-booming industry must contend with cheaper Canadian ginseng, fluctuating costs, and market uncertainties, forcing growers to innovate and diversify their operations to weather the storm.
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