Will Chinese pork be the next soybean?

Although the category of pork has not yet mentioned the height of affecting China's food security, the data on China's pork imports and the large supply from import source countries since the beginning of this year still make people sweat for many domestic farmers in China. They are worried that once imported pork dominates the market for too long, it will fundamentally take away the market share of China's local pork, even if pork prices rise again. Chinese farmers will not be able to fully return, when Chinese pork prices will be subject to foreign control, becoming the "next soybean".

However, in the view of Ji Guangxin, an analyst of Zhuochuang Information Animal Husbandry, this is a little worrying.

First of all, it needs to be clear that the high subsidies and intensive farming methods in foreign countries, as well as the living habits of not eating pork by-products, lead to the so-called "gift" of pork by-products are often paired with pork exports. it does make imported pork, even with tariff costs, sometimes lower in price than China's local pork, quite competitive.

However, due to the objective constraint of distance, foreign pork mostly enters the Chinese market in frozen form, which determines that it is difficult to win the first choice of Chinese people and then affect the performance of China's inflation rate. fresh pork is the first choice for the dining table, and this is the biggest advantage of local pork.

Therefore, there is no need to worry too much about imported pork taking advantage of the gap to occupy China's local pork market share. even if there is an impact on market share, it is only limited to processing enterprises that demand more frozen pork and by-products, and this part of the share is already in the hands of imported pork, and there is no so-called preemption.

Compared with share encroachment, more attention should be paid to the event of a large number of imported pork entering the Chinese market from the perspectives of "gap in China's pork market" and "China's breeding cost".

Why does China's pork market, which is fully self-sufficient in supply, bring opportunities for imported pork? It is only that the disorderly farming caused by a large number of retail investors makes it impossible for China's domestic pork supply to achieve scientific adjustment according to the changes in supply and demand, and pork prices that break away from the balance between supply and demand fluctuate greatly. Fluctuating prices will cause retail farming to enter the market frequently, which in turn leads to greater fluctuations in pork prices. At the same time, the contraction and recovery of production capacity will increase the cost of the breeding industry, making local pork less competitive than imported pork in price.

Therefore, instead of paying attention to the recent increase or decrease in the amount of imported pork, it is better to use this "gap" to promote intensive production in China's aquaculture industry, and at the same time further reduce the cost of mobile links, so as to fundamentally protect the interests of China's domestic farmers.