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Analyst: 2017 will still ensure that pig farmers can make money
Add Time:2017.02.09    Views:592
Epicenter wide net news (reporter supervisor) Beijing on February 6, according to the Chinese village voice "rural China" report, released yesterday (5) in the evening the central file no. 1, points out that to develop efficient scale aquaculture. We will stabilize the production of live pigs and optimize the distribution of live pig breeding areas in the south China water network, and guide the transfer of production capacity to areas with large environmental capacity and major corn areas. It seems that stabilizing pork prices through agricultural supply-side structural reform is also an important part of document 1 of 2017.
Indeed, pork prices have been a hot topic in recent years. In 2016, the year of the pork industry, the price of pork has been running high. In 2017, experts expect the price of pork to fall, but it will ensure that farmers can make money. Around the village voice reporter visited China recently, however, the market has found that the years had passed, northeast, east China's pork slaughter enterprises began to bargain, sharply from which to the ninth, just four or five days, live pig market prices have fallen by almost a dollar. Slaughtering enterprises of the large area, large demand, let a lot of people are surprised, because according to the momentum, in early 2017, pork is about much more down to seven, at the end of the year farmers don't lose money is impossible. So is the price really so terrible?
After the Spring Festival, pig slaughtering enterprises gradually all over the country, recently, the reporter visited places such as northeast, north China, slaughtering enterprises buy pigs found that most of a sharp decline in prices. Pork seller zhang jinsong often buys pork from northeastern China to Beijing and other places. He told reporters that before the Spring Festival, the average price of a pig in the country stuck to nine yuan per catty. From the beginning of the first six months of the month, the recovery of the slaughterhouse is as good as good, starting to price. The northeast pig came in for a few days and was crushed by eight cents.
Zhang jinsong: the price of northeast now is basically 7 pieces 9, the year ago was 8 pieces 7. It's eight cents. In fact, it's a lot of pressure over the last two days, and then it's about eight six. The slaughtering enterprises began to be slaughtered on the fourth day of the first month.
In addition to the northeast, the price of pork in Beijing, hebei, shandong and henan provinces has also fallen sharply. Four or five days, the pig lost four or five cents a kilo, which is quite a big one. 'according to past years, market demand for post-holiday pork tends to go into the off-season, and it's normal for prices to fall,' Mr. Zhang said. Slaughter companies are also looking at the timing to push prices down.
Zhang jinsong: after the Spring Festival, because the user has enough meat products, it is the slack season. At the end of 2016, there is a bit of pressure, which is that the pigs should be in the box. So that's when the slaughterhouse takes the initiative, and he's able to push the price more quickly.
China pig warning network analyst yong-hui feng told reporters that due to the information transmission speed faster and faster in recent years, slaughtering enterprises in the production of downstream, industrial concentration is very high, so they are very easy to form the tacit understanding between enterprises, the national slaughtering the circumstances of the associated demand of the enterprise is not strange. But that's not a good thing.
Yong-hui feng: the chorus greatly bargains, everyone will form the panic, the panic selling leads to such quantity to increase, will in turn increase prices fall, then the price fell sharply again, then in the bargain, form a vicious circle. We always hope that the government can check this behavior and it is very bad for the industry.
However, the reporter saw that for the sudden price cut after the year, the pig farmers did not show much worry, and there was no fear of selling. Some farmers also have the psychology of reluctance to sell. Seller's zhang jinsong:
Zhang jinsong: the farmers will panic and their panic will be reduced. The pressure column is still very popular now, the corn is cheaper and cheaper, so the farmers want to raise the pig, the profit is not high.
Feng yonghui, an analyst, also believes that while the price of the slaughter enterprise is very strong, as long as the farmers and sellers are not blind, it will not have much impact on the market. The reduction in demand is due to a reduction in demand, rather than a "glut" of supply problems. The reduction in demand is transitory. So even if some farmers are panicking now, it won't lead to a vicious cycle in the national market.
Yong-hui feng: now this is a dramatic decline, it is slaughtering enterprises see post-holiday demand is not very good, so he wants to step in to pressure in place, the price will as usual, the fall will take two weeks to a month, he is now a down so much, is want to see can cause the market panic, to give them extra pleasantly surprised, I think this is unlikely, so we think this situation will be finished before the end of day.
In a few days' time, the price of the pig market will stop, and after a while, the price of pork will return to a small rebound, feng said. In all, pig prices will certainly stay away from losses in 2017.
Feng yonghui: it's impossible to take another two weeks, a month. That's not possible

 

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