China meat market as sick as it has ever been in ten years

Published Nov 10, 2022

Tridge summary

The Chinese market for export meat is experiencing a decline due to the severe 'Zero COVID' policies, leading to large-scale lockdowns and restrictions that have crushed domestic consumption. This has resulted in a collapse in food service demand and significantly impacted the price and volume of beef and lamb sales. The situation has led to concerns about high inventories and a slow recovery, with some supply chains avoiding China due to access issues. The article also touches on the potential political motivations behind the lockdowns and uncertainties regarding the timeline for market recovery, highlighting differences in market resilience between Australia and New Zealand.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

EXPORT meat traders are describing the China market as being “as sick as it has ever been in ten years” this week, as the country battles the latest wave of COVID sickness across the country. China’s severe ‘Zero COVID’ policy means large metropolitan centres and whole provinces are again in lockdown, or under severe restrictions. Latest to join the list is the giant southern manufacturing city of Guangzhou, which has introduced partial lockdown anti-pandemic measures. Others currently hard-hit include Zhengzhou, Chongqing and Beijing. Cases in Beijing have hit their highest level in more than five months. The measures have sparked a rapid collapse in food service demand across China, where the overwhelming majority of imported beef and sheepmeat is sold. The impact on demand and price is being seen across the full spectrum of beef and lamb trade, from cheap frozen secondary cuts through to premium Wagyu, Beef Central was told this morning by export traders dealing regularly with ...

Source: Sheepcentral