June 19, 2007

China government achieves some success in stabilising pork prices
 

China's government has achieved some success in stabilising domestic pork prices thanks to several measures, according to the Ministry of Commerce.

Since May, the government has been calling on hog farmers to increase production and pig traders to reduce their stocks to ensure sufficient domestic pork supply.

The Ministry of Finance is also providing subsidies and technical support to assist farmers in dealing with pig disease outbreaks.

Blue-ear pig disease is a threat at the moment, according to Department Head of the Ministry of Agriculture, Wang Zhicai. Wang said the government has allocated RMB280 million (about US$36.730 million) to fund a vaccination project, which would provide hog farmers a new vaccine free of charge. The aim is to help raise farmers' earnings and encourage more production.

China's current swine stock has increased by 2 percent on-year, with the latest official report stating a nearly 2 percent fall in June's average pork prices from May.

Statistics by the agriculture ministry indicated that April's live hog and pork prices rose 71.3 percent and 29.3 percent respectively compared with March.