June 6, 2007

China's May pork prices rises 10.5 percent over that in April

Pork prices jumped  10.5 percent in May from April in 36 major Chinese cities, while egg and vegetable oil prices also saw increases, according to data from the National Development  and Reform Commission.

Pork prices rose to RMB 17.42/kg (US$2.28) due to falling inventory, higher breeding costs, and live hog plague, according to the report.

Egg prices also gained 5.6 percent in May due to higher feed costs and a fall in inventory.

Peanut oil prices increased by 5.9 percent, while prices for rapeseed oil and soy oil rose by 0.3 percent and 0.9 percent, respectively, over the month.

Pork wholesale prices grew 8.6 percent in the 20 days of May to RMB 14.5/kg (US$1.89)

Average pork wholesale prices in 36 medium and big cities grew by 8.6 percent in the first 20 days of May to RMB 14.5 ($1.89) per kilogram, a rise of 43.1 percent from the same period last year.

According to the Ministry of Agriculture, live pig prices nationwide in April were 71.3 percent higher than the same month last year, and pork prices were 29.3 percent higher year-on-year.

Official forecasts expect China's meat and egg prices to stabilize in July as more supply enters the market.