China predicted to up import volumes as pig herd is hit by heavy losses
China is expected to increase its pork imports in the coming months, as its pig herd is hit by the knock-on effect of industry losses suffered last year.
The reduction in pig output in China appears to be larger than official data suggests, industry experts claim. Surging pork prices have driven up inflation in the world’s second-largest economy, which produces about half of the world’s pork, at a time of slowing growth, according to a report by Reuters.
Chinese pork prices rose in October by more than 50% from a year earlier, the National Bureau of Statistics said. Pork prices are predicted stay high in 2023 because of the lower supply, according to 10 industry analysts, farmers, and feed and genetics suppliers, although they cautioned demand may be impacted by China’s COVID measures.
Falling pork demand and high feed costs from June 2021 until July this year caused farmers to incur losses of as much as 600 yuan per hog, according to the report. Farmers sold off herds, culled more sows than normal or slowed production by not mating females to curb their losses.
The government has blamed farmers holding pigs back from slaughter to fatten them up more for the higher prices, and the Ministry of Agriculture and Rural Affairs has repeatedly said breeding capacity is sufficient.
Alistair Driver / Pig World
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