February 4, 2019
China Live Hog Weekly: Prices tumble further amid excess availability (week ended Jan 25, 2019)
An eFeedLink Exclusive
Price summary
Prices continued to fall.
|
Region |
Province |
Average price |
Average price |
Price change |
|
North China |
Hebei |
10.19 |
11.05 |
-0.86 |
|
Henan |
10.30 |
10.90 |
-0.60 | |
|
East China |
Shandong |
11.84 |
12.58 |
-0.74 |
|
Jiangsu |
12.13 |
12.78 |
-0.65 | |
|
Central China |
Hunan |
10.33 |
11.76 |
-1.43 |
|
South China |
Guangxi |
11.74 |
12.50 |
-0.76 |
|
Guangdong |
11.81 |
13.03 |
-1.22 | |
|
Southwest China |
Sichuan |
15.79 |
18.32 |
-2.53 |
|
(All prices in RMB/kg) | ||||
Market analysis
Farmers were eager to release hogs before the Chinese New Year holidays, as demand is set to dwindle after the festive break. With hog supplies surging, pork carcass volumes increased prominently by 6.6% to 10,227 tonnes.
Nonetheless, prices of hog plummeted 8.5% as slaughterhouses slashed prices amid poor sales of pork products. This dragged pork carcass prices down by 3.3% to RMB17.70/kg.
Market forecast
With supplies abundant while pork demand is poorer than expected to due to the African swine fever outbreak, hog market is projected to remain weak during the last week of January. However, following the sharp fall in prices over the past two weeks, hog prices should slide at a slower rate.
All rights reserved. No part of the report may be reproduced without permission from eFeedLink.
