Chinese pork prices rise a little, despite herd recovery

The Chinese pork market is still dealing with the effects of African Swine Fever in its pig herd although the pig population is recovering. According CNAgri, a consultant, the Ministry of Agriculture and Rural Affairs stated, “The number of pigs in stock registered 387 million [in October], growing for nine successive months, a rise of 27% year-on-year. The national production capacity of pigs has returned to about 88% of that at the end of 2017.” It further added with a note of optimism, that “Based on this growth trend, it is hoped that the number of pigs available will recover to the level of previous years before the outbreak of ASF, in the second quarter of 2021”.

This recovery is perhaps quicker than many in the global pork industry expect, but are there any signs that it is already having an effect on the market?

COVID-19 is disrupting both ends of UK-China trade to some extent, which clouds the issue. Industry reports indicate containers are being held at Chinese ports and being tested for COVID-19. This, and other measures, are apparently starting to cause a backlog of containers in port. In any case, it is not clear that import demand for UK pork could increase much further anyway. With some UK plants still self-suspended from exporting to China, a reduction in volume is more likely.

(Lire article complet)

Source :