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China - Pig and egg prices up - August 8, 2023

sharon sanders

Editor-in-Chief & President
Price hikes are coming! The price of pigs "broke 8 to 9", and the price of eggs rose to "5"

August 08, 2023 06:06




  The third quarter has entered the mid-term, and in August, the domestic agricultural product market has seen a wave of rising prices. Among them, in terms of livestock and poultry farming, farmers are happy, the price of live pigs "breaks 8 to 9", and the price support of butchers is weak. The bullish sentiment is still high, and in the egg market, the price of eggs has risen to the "5-digit number", the profit of egg and poultry farming has increased significantly, and the spring of the breeding industry has come!
  In the live pig market, according to institutional analysis, on August 6, the price of pigs stopped falling continuously, and the market showed a strong performance. The price of foreign three-yuan live pigs for slaughter rose to 8.7 yuan/catties, and the single-day slaughter company raised the price by 0.15 yuan/catties. The price of live pigs has "broken 8 to 9", and in many places in the north and south, the price of high-priced pigs for slaughter has risen by more than 9 yuan/catties, and the price in some areas has soared by about 9.4 yuan/catties!
  Recently, the price of live pigs has fluctuated rapidly. Previously, the confidence of slaughterhouses to lower prices has increased. In particular, the price of live pigs has soared sharply in the short term. The difficulty of short-term pig collection has been reduced. Due to poor consumption follow-up, the downstream orders of butcher companies have been greatly reduced. However, due to the high bullish confidence in the market, on the one hand, although the price of live pigs has risen sharply recently, the profit margins of farmers are relatively narrow. , retail investors and large-scale pig companies mostly wait and see in the stalls, and the supply of moderate-weight live pigs is relatively small, and group pig companies have a certain price operation; It is still relatively large, the enthusiasm for the second fattening is high, and there are still many small-standard pigs in the replenishment column, which further exacerbates the difficulty for slaughter companies to smoothly accept pigs. Superimposed, recently, the precipitation in many places in the north and south has increased, and the purchase and sale of live pigs at the grassroots level is not smooth. The source of pigs from the slaughterhouse to the factory is blocked!
  Therefore, under the constant change of long and short positions, the price of pigs fluctuates and rises, and the market shows a performance of "breaking 8 to 9". In August, the center of gravity of pig prices will continue to move upwards. However, due to limited positive consumption, there is room for further rises in pig prices It may be narrow. After all, domestic butchers have a high inventory of frozen pork, and they are less motivated to divide and put into storage, while fresh pork sales are sluggish. The downstream market generally presents operations of reducing volume and stabilizing prices. The operating rate of the sample slaughtering enterprises is only 27. %about!
  Nowadays, the center of gravity of pig prices is relatively strong, while in the egg market, egg prices are showing a trend of "flying together". In August, due to the sharp rise in egg prices in the production and sales market in the short term, the market has entered a stage of rational consolidation. However, with demand The support has strengthened, the pressure on the supply side of the market is weak, and the sentiment on the breeding side is high, and the domestic egg price has strengthened again. In the production and sales market, the egg price has risen to the "5-digit number", and the egg price will continue to run at a relatively strong level this month Lord!
  According to institutional analysis, at present, in the domestic production and sales market, in terms of production areas, the price of eggs in Shandong is 4.9-5.55 yuan/catties, the price of eggs in Hebei market is 4.9-5.1 yuan/catties, and the price of eggs in Henan market is 4.93-5.15 yuan/catties. Jin, while the price of mainstream eggs in Heijiliao area is 4.9~5.3 yuan/jin. In the sales area market, the price of eggs in the wholesale market is 5.27 yuan/catties in Beijing, 4.98 yuan/catties in Tianjin, 5.04~5.52 yuan/catties in Shanghai, and 5.18~6.2 yuan/catties in Guangdong. !
  At present, the domestic egg market is showing a trend of "weak supply and strong demand". In terms of demand, in August, consumer demand has further improved. The enthusiasm for trading has been boosted, especially as food factories stock up for the double festival, the enthusiasm for fresh eggs to be put into storage has become stronger, and the enthusiasm for buying and selling downstream eggs has continued to increase;
  In terms of egg supply, due to the concentration of chicks at the breeding end after the Spring Festival, the newly laid layer hens still showed a slight rebound in August from the previous month. Theoretically, the egg supply level increased within a narrow range this month! However, according to market feedback, at present, the domestic supply of large-size eggs is relatively tight, and the high-temperature and humid environment is not conducive to the recovery of the egg production rate of the farming end. At present, the egg production rate of some farms has dropped by 30 to 40%, and the supply of eggs The tight pressure is still high, and the pressure on the breeding side is weak!
  Therefore, under the long-short game, the price of eggs showed an upward trend. In the middle and late August, as the demand for replenishment of food factories further increased, the downstream market prepared goods in advance for students returning to school, and the enthusiasm of the wholesale market became stronger. , Egg prices are expected to rise further!

source: zhttps://finance.sina.com.cn/money/future/fmnews/2023-08-08/doc-imzfmrpk2160718.shtml?cre=tianyi&mod=pcpager_fin&loc=23&r=0&rfunc=32&tj=cxvertical_pc_pager_spt&tr=174
 
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