September 8, 2022

 

China's National Development and Reform Commission to release frozen pork reserve

 

 

China's National Development and Reform Commission (NDRC) has announced plans to release this year's first batch of central frozen pork reserves to ensure supply and stable prices ahead of the Mid-Autumn Festival and the National Day holiday, Global Times reported.

 

Additionally, the NDRC wants to help localities release more of their frozen pork stockpiles. According to a NRDC statement, the Guangxi Zhuang Autonomous Region of South China, Sichuan, Jilin, and other provinces have already begun releasing pork reserves.

 

The country will keep an eye on the pork market and release reserves at a higher rate as needed. The NDRC said it is advised that breeding farms continue to produce at a regular rate and that pertinent businesses release commercial stock of pork in a systematic way to satisfy market demand.

 

The authority announced in late August that it would collaborate with other departments to release pork reserves in batches beginning in September in order to ensure supply during impending holidays because major holidays fall across the following months.

 

China's Ministry of Agriculture and Rural Affairs said the average cost of pork in wholesale markets across the nation on Monday was CNY 30.34 (~US$4.37; CNY 1 = US$0.14) per kg, an increase of 1% from the previous day.

 

Prices at Beijing's Xinfadi wholesale market, which had fluctuated around CNY 20 (~US$2.87 per kg during the first half of the year, have now risen to CNY 30 (~US$4.31) per kg

 

Since July, the price of pork has increased quickly. Swine farmers' enthusiasm for production was dampened by the previous round of price drops from a supply standpoint, and when the current cycle of price increases started, farmers tended to hold onto their stock and wait for higher prices.

 

The market demand for pork is growing and is anticipated to continue growing in the coming months, experts noted, as the holidays draw near and the catering industries are recovering.

 

In order to balance market demand, the NDRC said that it was considering opportunities to release reserves.

 

At a press conference on July 14, Shu Jueting, a representative from the Ministry of Commerce, said that the country's overall hog production capacity remained within a reasonable range, with 41.92 million breeding sows nationwide as of the end of May.

 

-      Global Times