China to start provincial pork reserve on falling prices

The continuous decline of pork prices has prompted Anhui government to start provincial-level frozen pork reserve, in a bid to stabilise hog prices and protect pig farmers' interests.

A total 2,000-tonne plan has been issued to curb glut of pig supply in the market.

Four major hog slaughter and processing companies in northern Anhui province were selected to purchase hogs from large-scale pig farms in the province. The purchase price will be no less than provincial average hog price one week before Reserve Contract is issued.

Hog procurement is scheduled to be finished within 10 days after the contract is signed whereas frozen pork stockpiles are expected to last four months. Commerce Affairs Department and Financial Department will check and accept the pork to ensure adequate reservation and pork safety.