Demand increases before Winter Solstice Day and New Year’s Day which stimulates pig market. Hog price increases from RMB14.96/Kg early to RMB15.09/Kg at the end of December. With weak demand after holiday ends, hog slaughter volume increases while slaughterhouses buy at knock-down prices. Therefore pig price fall after rise to RMB15.06/Kg.
Hop price in the South of China is the first market to reach RMB15/Kg. Because demand and supply balances in the middle of this month, pig price in the South of China is stable and keeps above RMB15/Kg. Pig price in the North of China increases notably early this month. Slaughter volume increases in the middle of the month with down price. Pig price recovers with weaker demand compared with before strong demand.
Pig price is estimated to come down after the end of New Year with sufficient supply and weak demand. Because China’s Spring Festival is later than last year, temperature becomes the main factor which will influence pig price. Pig prices will be up and down in some regions.