The price hike has squeezed profits in slaughtering and meat processing companies from up to 60 yuan (CNY; US$9.20) down to around CNY20 ($3.00), the China Business News reported.

The national average price for live pig is CNY15.5 ($2.38) per kilo and the figure in North China has reached CNY16 ($2.46), the report said. Pig raisers gain CNY400 ($61.48) per pig, reaching the peak in profit since September 2008.

The price rised have been put down to rising corn price for feed.

Corn price in Guangdong Province rose 30 per cent from around CNY1,800 ($277) per ton last year to between CNY2,250 ($346) and CNY2,300 ($353) per ton.

Some pig slaughterers found their profits fall to CNY20 ($3.00) per head from previous up to CNY60 ($9.20) and supplies are also dropping as the pig herd numbers are falling.

Analysts say the clenbuterol scandal involving Shuanghui Group has also affected the market and supply.

Some industry insiders are calling for government subsidies to help ease the awkward situation for producers.