China to soon start second batch of frozen pork stockpiling to promote reasonable increase in live pig prices, stabilize pig production, government says
May 8, 2014
(Xinhua News Agency)
– China will soon start the second batch of frozen pork stockpiling to promote a reasonable rise of live pig prices and stabilize pig production, the National Development and Reform Commission said in a statement published on its website Wednesday.
The first batch of frozen pork purchases this year began at the end of March to prevent excessive decline of pig prices and protect breeding farms' interest.
The domestic live pig prices have gradually halted falling and started to stabilize since the beginning of April thanks to the government's stockpiling. By April 30, average ex-farm prices of live pigs stood at 11.14 yuan/kg, up 0.85 percent from a week earlier. However, the pig-to-feed price ratio, namely pig price divides pig feed unit price, stayed at 4.64:1, still below the breakeven point of 6:1.