China’s pork prices expected to increase slightly

Pork prices in China are expected to experience modest increases in the future, despite a week-on-week decline from July 3 to 9, experts said.

During the period, the average pork price tracked by the Ministry of Agriculture and Rural Affairs was at 18.98 yuan (about 2.66 U.S. dollars) per kilogram, down 32.9 percent year on year.

In June, pork prices went down 7.2 percent year on year, official data showed.

Pork price declines were mainly caused by sluggish demand.

However, with the overall improvement of the pork supply and demand situation, pork prices are expected to rebound slightly in the future, according to experts.

“With the gradual reduction of sow production capacity, the supply of piglets decreased in the first quarter, and it is expected that the oversupply situation will be alleviated in the third quarter,” said Zhu Zengyong, a researcher with the Chinese Academy of Agricultural Sciences.

“Pork purchasing and storage and other related measures will play a supporting role in market sentiment and guide the orderly improvement of the supply and demand pattern. Pork prices are expected to bottom out and rebound, but the price increase may be limited in the short term,” said Wang Likun, a researcher with the Development Research Center of the State Council.