September 6, 2010

Chinese pork price tops the year

Pork price in China bounced back for 12 weeks in a row to RMB17.47 (US$2.57) per kilogramme last week, rising by 1.3% from a week ago, and tapped an all-time peak since the year's beginning.

The pork price has been on a round of fast rally since June end after a long-term sluggishness in live pig production. Data from the Ministry of Commerce show that fresh pork price rebounded to RMB17.12 (US$2.52) a kilogramme on August 27, and that had been a peak of the year, about 5% higher compared to the same period of last year.

Pig price was driven up because a number of stock raisers incurred losses early this year, especially in April and May, and weather was abnormal in the first half of the year. In addition, raw materials of feedstuff like corn and wheat marked up and regulators bought frozen pork as reserves many times.