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  APPALACHIAN GINSENG FOUNDATION

                   A project of Appalachia -- Science in the Public Interest       
            #8 Summer, 2001                       AGF Newsletter

 


 

Comments Welcome on Ginseng Marketing System

We who grew up on tobacco farms have always been proud of the fairness of a marketing system which, while imperfect, did try to answer the needs of small farmers. The system was excellent, but the product was wanting in many ways. We now have a more healthy product. A few growers prefer to entertain the possibility of a private ginseng marketing route. However, we ought to ask these private marketing advocates the following questions:

  • Sector: Why private (or public) marketing systems?
  • Appropriated money: How do we settle on loan amounts?
  • Grading: What constitutes graded ginseng?
  • Carding: How do we distribute marketing cards to growers?
  • Pool Disposal: How will the ginseng "pool" be marketed?

The government route seems more appropriate because the systems are already in place for a half century. The relatively small volume of ginseng along with its imperishable nature (similar to tobacco) makes it easy to ship even by air freight. For the historic record, tobacco market support began in the early years of the twentieth century following the tobacco wars with private funding of the loan guarantees. In the New Deal years it moved over to Federal support. Let's take up the above five questions --

Question One: The public route to funding has a successful historic precedent in the tobacco marketing system for over a half century; it did reduce squabbling and friction among growers; it retained the largest number of small farmers (of any major commodity) in business for a number of years; it essentially paid for itself in future sales; it was fair with adjustment mechanisms for farmers who thought their allotment was too small; and the growers cooperative was willing to expand beyond tobacco to other possible commodities as was the case during the Second World War with hemp.

Question Two: While the amount of money is critical in a private marketing route, it is less so in a Federally supported one due to the generous subsidies to agricultural commodities. Private deep pockets may be difficult to find. However, much depends on general congressional support which ought to be easier to receive for ginseng than for tobacco. Total loan money would depend on the number of market cardholders, the anticipated amount they will harvest, and the remaining amounts of ginseng crop that do not bring the parity price on the open market. Parity is the price for a farm product which is maintained by government price supports based on current market conditions.

Question Three: Today buyers are constantly grading ginseng on their own with emphasis on age, color, moisture content, texture, drying procedure and thoroughness, preservation, and consistency of the batch. A governmental official grading system similar to tobacco's could be achieved with a limited expenditure in time and effort. Ginger Shelby, an herb specialist in Ohio, is willing to train graders or growers wanting to know the grades with conferences at a reasonable price. She can be reached by writing to P.O. Box 41 Shauck, Ohio 43349 and look at her web site at <twistedspiritherbs.com>. Note: ASPI is preparing to shoot a videotape of her basic grading course for use by growers who want to know the quality and price of their root.

Question Four: The verification of ginseng crop and harvest amounts could be done in the same manner now being used by state agricultural organic certification systems. Since we are speaking of organic ginseng, it is possible that this verification procedure would require a small amount of additional time during the annual visit by the state organic certifier. In other words, the system is in place and operative. The marketing card could accompany the certified organic stickers sent for successful recertification.

Question Five:
A private system may have to do an end run around the complex web of traditional marketers, West Coast shippers, Asian power groups, and the list of persons along the route. This could be better negotiated by the federal government, which is already knee deep in ginseng marketing due to the CITES Treat and existing regulations. The marketing will still involve the private sector, just like the tobacco's regulated marketing program does.


Chemical Lab Activities


We are obtaining leaf samples of organic virtually wild ginseng on the 15th of each of the growing months from Syl Yunker. Half the leaves are dried in our ASPI solar food dryer (about 100 degrees) and extracted at our ASPI chemical lab by Jack Kieffer; the other half is delivered to the chemical labs of Eastern Kentucky University with cooperation from Prof. Frank Shaw. Our summer student researcher at Eastern, Ben Estes, has prepared several thin lay chromatographic (TLC) plates which need to be refrigerated to achieve good separation of the ginsenosides. He is now obtaining plates in order to prepare ginsenosides for high performance liquid chromatographic (HPLC) studies. He is working with Prof. Bill Shultz, the Chemistry Department chief chemical analyst, to identify the various ginsenosides and their destruction products. These active ingredients of ginseng are of very high molecular weights which challenges the limits of the university gas chromatograph-mass spectrometer (GC-MS) equipment. Procedures to work around these difficulties are being developed.

 

Reference: Alvin N. Starratt et al. have found that ginseng leaves contain certain ginsenosides which are more abundant than others, especially in late summer when their harvest would have negligible effect on food storage by the roots. That research group regards the leaves as a source of economic return during the initial years of growing ginseng which is similar to our current ASPI policy and research. See "Leaves of North American Ginseng: A Renewable Source of Certain Ginsenosides," Canadian Journal of Plant Science 81(1), January 2001, 65-67.



Medical Research
Dr. Laura L Murphy of the Southern Illinois University School of Medicine writes that she received and prepared the Yunker root and treated human prostate cancer cells with the extract for six days. The following graph shows that the extract decreased the number of proliferating cancer cells, relative to control, non-treated (vehicle) cells in a nice dose-related manner. This extract was four times more potent than her standard in inhibiting human prostate cancer cell growth. A still older root than the Yunker 12-year-old one was a little more potent.


Dr. Murphy asks of us "Would your group be interested in collaboration?" We are very excited about this possibility of working with her laboratory especially when we have become more facile with ginsenoside analysis.

Growers Concerned about Poachers

AGF Newsletter: You may notice this new title on the mailer. People have expressed concerns that ginseng growers do not want their postmasters and neighbors to know they receive literature related to "ginseng" for fear of attracting poachers. These readers like the materials within our newsletter, but not the word "Ginseng " in bold letters on the mailing flyer cover page. The quest for secrecy tells volumes about Appalachian poaching problems detailed in the last Newsletter and our efforts to get people to join a growers/marketing cooperative. Some reports indicate that poaching is getting so critical that little wild ginseng will remain in five years. The June Richmond Times Dispatch (VA) had an article saying that, despite the efforts of rangers, the poachers are winning the battle in Virginia national parks, with their victory having serious ecological consequences.

GPS Related Issue: We have found the procedure that Dan Bond has developed to be quite powerful; this will tell of locations for possible or actual wild ginseng growth to a high degree of accuracy. While in a theoretical manner this is a victory for our high-powered computer and operator, still it is treated with caution by those of our contacts who have recently been victims of poaching. Thus we have put on "hold" the GPS work, and only address specific ginseng-growing questions for people who are not yet growing ginseng. Perhaps we have placed a cart before the horse, namely, the horse that carries a ginseng marketing card. Without this protection for the growers, there is the fear that one's crop may be made known and that a grower's land will be targeted by ubiquitous poachers. When the marketing card system will be finally in place, the GPS work will resume full throttle.

 



Upcoming AGF Resources

* Sherman Bamford joined ASPI as a forest associate and is completing the AGF Growers Manual, which should be available by this autumn. It should be an adequate source book for growers, along with ample appendices for those wishing to learn more about Panax Quinquefolius L.

* Two 28- minute videotapes are being prepared through the Educational Foundation of America grant. These are narrated by Al Fritsch and videotaped by Mark Spencer with editing by Joey Kesler of WOBZ-TV. These will be prepared on the subjects of poaching and grading & marketing. The two tapes will be available in general audience or television quality format.

* Syl Yunker has visited the 15 economically impacted "tobacco" counties of Kentucky during the spring and made contact will all county agents and agricultural committees, with unanimous interest in alternative crops. Hopefully, some will sponsor AGF-related workshops for growers.


AGF Editor: Al Fritsch
Telephone (606)256-0077 Fax (606) 256-2779 E-mail aspi@kih.net
Website Http://www.kih.net/aspi/agf


updated August 9, 2002