1. Price fluctuation risk: the price of tea will fluctuate with the market supply and demand, seasonal changes, quality and other factors, investors need to pay close attention to the market changes, accurate buying and selling decisions, in order to avoid price fluctuations brought about by losses.
2. Quality risk: the quality of tea is an important factor affecting the price of tea, different origins, different varieties of tea has a very different quality standards, investors need to have the ability to identify the quality, and choose to invest in tea brands with stable quality.
3. Supply Chain Risk: The tea market is a typical agricultural industry, affected by the weather, geography and other factors, tea farmers production is difficult to protect, the tea supply chain may also be affected by logistics, storage and transportation and other reasons. Investors need to have a full understanding of the risks in the supply chain to avoid problems in procurement, storage and sales.
4. Policy Risk: The government's policy on the tea industry has great influence, such as land policy, tax policy, etc. Changes or adjustments in policy may have an impact on the tea market. Investors need to pay close attention to policy changes and adjust investment strategies in a timely manner.
5. Consumption shift risk: As consumers pay more attention to health food, green, organic, pollution-free and other tea varieties are gradually welcomed by consumers, and the sales of traditional tea varieties may be challenged. Investors need to pay attention to changes in market trends, and timely transformation and upgrading of relevant tea varieties to meet market demand.