September 17, 2008

China Yurun Food Group Ltd., may enter the pig farming industry in the near future.

Yurun is interested in developing its own pig-raising business in 2010, amid expectations of annual pig slaughter volume to reach 18 million and processed meat production to hit 268,000 tonnes.

The Live-Pig Butchering Regulatory Ordinance, effective since August, benefitted Yurun and the company expects to have a 20-30 percent growth in market share in 5-10 years.

Yurun chairman Zhu Yicai expects live pig supply to stabilise and prices to drop slightly under the government's policy on balancing live pig demand and supply.

Yurun recorded a 71 percent growth in net profit in the first half of 2008.