2007 was a turbulent year for those involved in puerh tea, especially tea businesses that were heavily invested. After a decade of escalating prices the momentum driving the value of puerh tea would peak during the spring of 2007. However the high prices could not hold and as the price for puerh tea tumbled, the first crash of the modern day puerh market was at hand. Fueled by heavy speculation and in part the wave of euphoria generated by the Chinese national media the price of puerh tea was at an all time high and was no longer sustainable without a significant correction. Furthermore the realization that the quality of puerh tea was increasingly being compromised for bigger profits by producers had begun to greatly dampen the euphoria of puerh tea leading up to 2007. A lack of confidence in new products whereby quality was sacrificed for quantity increasingly deterred buyers and investments. By mid-2007 the puerh tea market had crashed. As prices plunged to deeper depths for the reminder of the year many tea businesses that had gambled on escalating prices would be forced to close their doors.
