China's live pig prices have plunged to their lowest in nearly eight years, averaging 11.05 yuan (US$1.60) per kilogram during the third week of March, due to a supply glut from huge industrial farms and a post-holiday drop in consumption. Data from China's Ministry of Agriculture and Rural Affairs shows a 2.9 per cent weekly decline and 28 per cent year-on-year fall. Pork prices also fell to 22 yuan per kilogram last week.
China's pig prices have fallen to their lowest level since June 2018, according to financial data provider Wind.
The glut stems from the rapid expansion of industrial-scale hog farms in China's pork industry over recent years, causing the pig herd to swell faster than demand, said Yao Jingyuan, former chief economist at China's National Bureau of Statistics and a special researcher at the State Council's Counsellors' Office.
These facilities, some rising 26 storeys high, have upset the pork market balance, particularly as industrial farming has compromised meat quality, Yao added.
Data from China's Ministry of Agriculture and Rural Affairs shows live pigs averaged 11.05 yuan (US$1.60) per kilogram in the third week of March, down 2.9 per cent from the prior week and 28 per cent from a year earlier.
Pork prices sank to 22 yuan per kilogram last week, a 2.1 per cent weekly drop and 16.5 per cent year-on-year decline.
Consumers dislike the industrially produced meat, contributing to the post-holiday consumption dip amid the surplus.
