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State warns dealers to be wary when buying ginseng

By TIM THORNBERRY
Kentucky Correspondent

FRANKFORT, Ky. — While ginseng is not widely known as a mainstream crop in Kentucky, as for other commodities, it is harvesting time for the root – and with that comes information for producers (or diggers, as they are known) and dealers.

Because wild American ginseng is protected under the Convention on International Trade in Endangered Species (CITES), many rules and regulations enacted by state statute must be followed when it comes to harvesting and selling. Agriculture Commissioner Richie Farmer urges ginseng dealers and sellers to operate within those laws governing the sales of ginseng roots.

“The ginseng trade can be both profitable and sustainable, but only if everyone follows the rules,” Farmer said. “I encourage dealers to watch for roots that are not legal to sell. Harvesters should keep in mind that they may sell only to dealers that are licensed in the state.”

Some of those rules include: ginseng roots must be five years old and have three prongs to be sold under federal law; harvesting on state property is not allowed; and harvesting on federal property is not allowed except for the Daniel Boone National Forest, for which the harvester must obtain a permit from a local forest ranger.

This is all according to information from the Kentucky Department of Agriculture (KDA), which administers and certifies all ginseng for export from the state. Also, digging of wild ginseng is only permitted from Aug. 15-Dec. 1, with the selling season going from Sept. 1-March 31.

Anna Lucio, a marketing specialist and coordinator of the ginseng program with the KDA, said most of the ginseng harvested here and throughout the country is exported to countries where there is a huge demand for American ginseng, such as China, which makes it a valuable commodity.

“This plant is so desirable and has been traded since humans have been here. But it has to be monitored to ensure that ginseng will be here in the future,” she said.

Lucio added while ginseng is not on the endangered species list, certain guidelines still have to be in place as a preventative measure to keep the plant from becoming extinct. She also said that Kentucky, especially the wooded areas of the eastern portion of the state, are ideal growing areas for ginseng – something that has made the commonwealth one of largest ginseng producing states in the country, to the tune of more than 11,000 pounds for sale last year.

While cultivated ginseng can be sold for around $20 per pound, it is the wild American variety that can fetch as much as $350 or more for the dried wild root, said Lucio. That hefty price, however, has created some problems of poaching and theft.

The KDA recommends dealers be cautious, noting that more than 57 pounds of ginseng were reportedly stolen from the home of a dealer in southwestern Virginia last month.

“Dealers are advised to be watchful of someone (particularly if he or she is not familiar to the dealer) selling large quantities of roots or asking questions about the dealer’s volume of sales. Suspicious sales should be reported to local law enforcement,” advised the agency.

In Ohio, because of the popularity and value of the herb, the state’s Department of Natural Resources is finishing a two-year investigation of the ginseng industry, according to a report by The Associated Press. Through a series of interviews with dealers and diggers, more than 30 individuals were found to be involved in 65-70 violations, noted the report.

Charges for those violations could include harvesting out of season and digging without landowner permission.

In Kentucky violations can carry penalties ranging from a $1,000 fine to 120 days in jail.

It’s a fact that ginseng can be profitable, especially the wild American variety. Kentucky is one of only 19 states that have wild ginseng programs. But for those thinking the herb may be the answer to saving the farm, there is a lot of work and time that must go into the business.

The University of Kentucky College of Agriculture has plenty of information available for would-be producers, including labor requirement estimates, which vary depending on the intensity of cultivation and the production year. That information states that “intensively produced woods-cultivated ginseng in Kentucky may require as much as 3,000 hours per acre for land preparation and planting, an average of 600 hours maintenance per acre during production years and 3,500 hours per acre for harvest and drying operations.

“On the other hand, the same size woods planting cultivated less intensively can require 3,600 hours total, over a period of six to eight years. An acre of wild-simulated ginseng can require 1,500 hours total, over six to 12 years.”

The information also specifies that the price received for ginseng varies depending on the production method, root appearance and quality.

For more details, visit www.kyagr.com/marketing/plantmktg/Ginseng.htm

10/14/2009