December 23, 2009

Chinese pork demand will rise during holiday season

Pig prices have rebounded, primarily due to the increase of consumption demand in cold weather.

Around Winter Solstice, folks in southern China will start making preserved meat. In holiday seasons including the New Year and the Lunar New Year, the consumption demand will increase, so the price of pork is likely to keep increasing mildly.

On December 2, the factory price of pigs averaged at RMB11.97/kg (US$1.75) in large and medium cities, up by 4.5% month-on-month, a rebound after four week's of drop.

From November 26 to December 2, the weekly-averaged factory price of carcass meat was RMB15.9/kg (US$2.33) in pig slaughtering enterprises, up by 3.38% compared to early November, a mild rise for four weeks in a row.