China's hog inventory records strong growth in July
China's population of hogs registered a 13.1 percent year-on-year growth in July, a strong sign of production recovery after the African swine fever took its toll on the hog industry last year, the Ministry of Agriculture and Rural Affairs said on Monday.
This marks the first year-on-year growth in the hog population since April 2018, according to the ministry. On a monthly basis, China's hog inventory increased for the sixth straight month last month, up by 4.8 percent over the June level.
The year-on-year increase in the number of hogs in stock indicates that the number of hogs for slaughter will also witness a year-on-year increase in five to six months, which could fundamentally relieve the tight market supply, the ministry said.
In July, the number of breeding sows in stock surged by 20.3 percent year-on-year and 4 percent month-on-month. In the country's hog production powerhouses, such as the provinces of Jiangsu, Anhui, Guangdong, Hunan, and Sichuan, hog populations increased by more than 5 percent compared to a month ago.
The ministry estimated that pork supply would stay tight in the third quarter, but the situation will ease in the fourth quarter due to increasing supply, and pork prices are unlikely to soar further.
Pork is a staple in the Chinese diet and accounts for more than 60 percent of all meat consumed in China.
Since the beginning of this year, the government has been taking several measures to boost market supply, including releasing frozen pork reserves, and increasing imports.