Why Is American Ginseng so Valuable?

by | Gardening

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For centuries, American ginseng has been in the spotlight for mountain foragers and market specialists. Now, it is in the spotlight for conservationists who are striving to protect it from an irreversible decline.

Why Is American Ginseng So Valuable?

This plant is considered one of the most expensive herbal exports in the world, with some historical market prices reaching above $500 per pound of the root. These prices were the result of unsustainable black market operations, however, and prices seldom climb that high.

In greed, many hopeful foragers have found out the difficult way that market prices are often disappointing once a seller takes their fee, and buyers back out of initially high bids. Their foraging habits leave them in dangerous territory, from bear country in Appalachia, to the forests of the Russian Primorye where leopards roam freely. There are also federal penalties for harvesting, possessing, or exporting the wild root, which significantly impact the bottom line of any operation.

On average, the ginseng harvester won’t get anywhere near this amount. $30 to $50 is a more realistic price range for a pound of roots, which can consist of anywhere from 200 to 350 roots. Hundreds of individual plants dug, the result of thousands of hours and, often, more than 90% of a regional population.

So why is American ginseng so valuable, even in the face of extinction in the wild? Supply and demand.

In the 17th century, Colonial settlers realized that they had what is now known as American ginseng in the new and seemingly abundant land. This was the land of the plenty, where natural land stretched as long as the eye could see. While the land seemed never ending and plenty could be had, it could not match the greed of the new European settlements.

Around the same time, that surveyors were determining what resources were on the land, China was looking for a supplier for ginseng. Their own native Panax ginseng root – similar to Panax quinquefolius, or American ginseng – was believed to be extinct in the wild and prices were rising as a result.

To the inexperienced, ginseng can be difficult to identify, which makes foragers and cultivators selling the real root – rather than a lookalike – harder to come by than one would think. For a time in the 17th century, the lack of reputable sellers inflated the price per pound of ginseng, though you would be hard-pressed to find that same demand in the modern market.

 

Why is Harvesting Ginseng Illegal?

In the United States, the local foraging of ginseng is governed by individual states where the plant grows natively. Some states only regulate ginseng and have established ‘hunting seasons’ for the root to allow individuals to forage for the plant under specific licensure and inspection.

This is an attempt to mitigate the damage poaching does by allowing a minor amount of digging to go on, rather than outlawing it entirely and seeing the population poached to extinction. (1) The goal of this, of course, is to ensure younger plants can continue to exist in the wild, and eventually mature enough to produce berries, and repopulate a once-abundant land.

Other states have taken another tactic and banned the wild collection of the root entirely. Property laws make wild collection illegal on State-owned land, as well as National Parks land.

Conservationists work on these policies in an effort to support the population through decline and take other steps – such as careful stewardship – to allow populations to recover.

Ginseng’s number one threat to extinction in the wild is human poaching. What was once a family activity for many 19th century foragers can no longer be sustained. Because of the greed of poaching activities and poor ‘sang hunting stewardship in search of a fortune, not only is ginseng on the brink of extinction, but so is an entire cultural experience and way of life.

 

Why is Ginseng Restricted?

As another measure of protection, American ginseng was one of the first species listed in the CITES Appendix II restriction, which governs the trade of flora and fauna that are at risk of over-exploitation.

While this has created an illegal trade of ginseng, it has dampened the overall exploitation of wild roots, making it a successful and vital component of ongoing conservation efforts.

Want to Learn More About Ginseng?

Enjoy more in-depth information about how to identify, grow, and harvest your own American ginseng crop in HerbSpeak's new book: How to Grow Ginseng.

In this book, you’ll learn everything you need to know about growing ginseng – specifically American ginseng, Panax quinquefolius – and how to care for this wonderful plant from seed to harvest.

Beyond that, you’ll learn why such a small root has earned such an honorable reputation, and what you can do to help keep this plant in our lives no matter what your motivation for growing ginseng is.

Your journey into the world of ginseng starts here.

About Destynnie K. Berard
I am a lifelong naturalist who believes a good sense of humor is essential to staying happy. ★ After traveling for years, I settled in New England, falling in love with the diverse landscape the Northeast has to offer, and began pursuing conservation in earnest. ★ My career background is in enterprise marketing and communications, which provides me with a unique perspective of ecological relationships.

1 Comment

  1. Joan

    My granpapa used to take us Sang Hunting in the woods when I was little . He always told us to plant the seeds when we dug. I had no idea sang under such threat. thank you for a great write- up on this.

    Reply

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