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British media: China will build hundreds of "super large pig tides", which will exacerbate excess capacity or export pork?

2019/03/01 16:53
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Hundreds of large modern pig farms will be built in China this year to reduce farming costs, Reuters reported. In addition, from this year on, China's excess pig production will gradually intensify, or will it go to the road of pork export?

British media: China will build hundreds of "super large pig farms" to reduce pork market costs Global Times

British Reuters February 7 article, original title: China achieves pig farm "oversized" to reduce the world's number one pork market cost

China will build hundreds of large modern pig farms this year

Encircled by the mountains in the remote areas of southwestern China, Xinguang's first large-scale modern pig farm has prepared for the first batch of piglets. By the end of this year, there will be 10,000 sows living in this 73-hectare pig farm, breeding up to 280,000 piglets per year – equivalent to producing 20,000 tons of pork.

As China's considerable proportion of pork production is shifting from the family “backyard” pigsty to the kind of automated intensive pig farms that are common in the United States, this (located in Wuxuan County, Guangxi) is a large-scale facility for pig farms according to US standards. China is one of the largest number of large pig farms built this year. Industry insiders estimate that China will build hundreds of sow farms each with 5,000 to 8,000 pigs this year to accelerate the transformation of the world's largest pork industry.

Overcapacity in pigs will gradually increase, and China may move toward pork exports.

This shift coincides with the fact that hundreds of thousands of backyard pig farms in China are closing due to their small size and unable to meet new pollution control standards. This also provides more market space for large pig farms, which are using New feeding methods and imported genes increase production and reduce costs.

Experts say higher pig production from these pig farms will “tamed” China's well-known pork price volatility, improve food safety standards in the country and improve the environment. As China officially approved this week's application for hog futures to help prevent pork price volatility, larger and more standardized pig farms are paving the way for a more advanced pork market in the country.

“As more large companies enter the market, food safety will improve and costs will fall. Global competitiveness will increase day by day, and China will definitely export (pork),” said Fang Shijun, principal researcher at research firm Huitong Data.

He predicted that as production increases and domestic demand slows, the excess of pigs will increase from 2020 to 2020. And with China's comprehensive upgrade of the pork industry, countries that previously exported pork to China will also face an impact. (Author Dominique Payton, translated by Wang Huicong)