November 22, 2023

China's sow herd exceeds demand, puts pressure on pork prices

China's sow herd, standing at 42.1 million swine at the end of October 2023, continues to outpace demand, impacting live swine supply and causing downward pressure on prices, Nasdaq reported.

The current sow herd figure, while slightly lower than September's 42.4 million, marks the tenth consecutive month of decline.

Despite this, the production rate of sows is on the rise, coupled with lower-than-expected pork consumption, contributing to an oversupply situation, according to China's Ministry of Agriculture and Rural Affairs, as cited by state broadcaster CCTV.

Swine prices, currently at CNY 15.18 per kg, reflect a 42% decrease compared to the same period last year.

The ministry plans to implement measures to stabilise policies related to land, environment, finance, and other supportive factors, aiming to encourage a more balanced level of production. However, detailed specifics on these measures were not provided.

-      Nasdaq