Pig prices are sluggish, do pig enterprises stop production?A pig enterprise has no new pig production plan
Pork **continues**, cumulative**07%
According to the news released by the National Bureau of Statistics, at the end of November this year, the average price of pork (foreign three yuan) in the country was 145 yuan kg, compared with the previous month**07%。This is the reason why the pig market continues to decline, which is a great test for pig enterprises. The decline in pork is largely determined by supply and demand. In recent years, the scale of pig production has been expanding, the number of live pigs has been growing, and the market demand for live pigs is getting smaller and smaller, resulting in continuous pig production. In addition, due to the outbreak of African swine disease and the rising cost of feed, the cost of pig production is low.
Luo Niushan: Suspend the expansion of breeding scale.
Luo Niushan said that the company does not plan to expand the scale of breeding for the time being. Although the production capacity of the company's newly built large-scale breeding base has been gradually released in recent years, the company will also adjust its operation plan according to the market and the supply and demand of live pigs. In addition to the pig production projects that have been completed and planned for construction, there are no new pig capacity expansion plans.
Raw material **trend suppresses hogs**.
Corn and soybean flour are the most important raw materials in pig production, which plays a decisive role in the change of pig production. At present, domestic corn, soybeans and other agricultural products have large fluctuations, which poses pressure on pigs.
1. Corn ** declined, **tightened.
Due to the continuous increase in China's new corn production, coupled with the country's relaxation of restrictions on grain imports, China's corn market has continued to decline. Especially in the case of a large number of new grains, **constantly**, and in some places the sales are not as good as the production costs. This has led to a decrease in the inventory replenishment rate of feed enterprises and deep processing enterprises. At present, the relationship between supply and demand is relatively modest, and the ** of corn is still fluctuating at a low level, and it is expected that this trend will continue in the near future.
2. The demand for soybean meal has declined, and the pressure on soybean meal prices has increased.
In view of the current aquaculture industry in a state of continuous loss, resulting in a decrease in the demand for feed by breeding enterprises, the demand for soybean meal is also reduced while the enterprise loses profits, and then passes to the downstream, thus causing a strong suppression of the soybean meal market. In addition, as the climate conditions in South America are still uncertain, it is also helpful for soybean flour**. Due to the large short-term loss of China's aquaculture industry, the soybean futures price is expected to continue to operate weakly in the short term.
The conclusion is: at present, the pig ** continues to decline, which brings great difficulties to pig enterprises. Luoniushan Group is a leading enterprise in the domestic pig industry, and due to market uncertainties, the project to further expand production capacity has been temporarily suspended. At the same time, the trend of raw materials has also put pressure on pig production, which is manifested as: the price reduction of commodities such as corn and soybeans and the relaxation of the first month. In this case, pig production enterprises must actively respond to market changes and seek new development strategies to meet the fluctuations of pig production and fierce market competition. In order to meet new opportunities and challenges, China's pig industry needs to continue to deepen reform and improve the development level of the pig industry. Let's see if the pig market will improve in the near future.