China’s ag ministry hints that pork prices will continue to fall

Pig prices in China have been falling over the course of 2021 as the pig herd expands and slaughter rates pick up – and the low prices could continue into 2022.

25 October 2021, at 10:25am

An official with China’s Agriculture Ministry said that pork prices could continue to fall after Lunar New Year 2022 if pig production is not substantially curtailed. This could lead to large losses for China’s farm sector.

Kong Liang, head of the Livestock and Veterinary Department at the Ministry of Agriculture and Rural Affairs said that the country's hog surplus will likely continue in the near term.

Pig prices have fallen this year in the country due to increased supply and slaughter, leading to huge losses for small producers and companies.

Liang added that the female herd between August and September was 10% higher than normal levels and that the number of commercial pigs in Q4 2021 and Q1 2022 will increase significantly from the previous year.

With this in mind, Liang told pig breeders to cull inefficient sows to improve the strength of the herd.

Recent data showed that China posted its highest third-quarter pork production in three years, after producers built thousands of large poultry farms last year to rebuild a herd decimated by African swine fever.

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