What is the price trend for pork in China in 2020?

With schools back in session, the demand for pork products in school meals has been rising, as well as the anticipation of increased consumption during the holiday season from October 1 to 8 which could potentially exert upward pressure on prices. There is, however, also an expected increase in supply as suppliers tend to release their stock toward the holidays, creating possible fluctuations in prices.

Domestic pork prices in China have been on an increasing trend for the last two years, a trend that is in line with the ASF outbreak. Prices of fresh pork in China saw great fluctuations in August but ultimately went on a downward trend. The average price of fresh pork throughout the month was at approximately CNY 37.27 (USD 5.5), a 0.29% drop from July (CNY 37.38, USD 5.53).

The main reason for this trend is the increase in prices during mid-August, attributed to the nationwide flood which made it difficult for manufacturers to purchase live hogs and drove up prices. High prices reduced consumption which in turn decreased the price toward late August. By the end of the month, pork prices saw a slight increase from the low point as more producers were hesitant to sell the pigs at the current price.