Pork Weekly Report W26 from Shanghai Joy-food

* : * : admin * : 2020-04-08 11:13:59 * : 0

Please check the brief report of China market below.

Currency situation in China

-In recent weeks, the main problem that China market now facing is the huge increase in the exchange rate between CNY and USD. Today at 6.64:1, increased by 3.7% in 2 weeks. Reached 6.73:1 yesterday. The USDX did not increase a lot, but the depreciation of CNY showed an one way downward trend instead. So it is highly likely that our government is now intervening the currency to minimize damage of the exporting industry caused by the trade war.

-Now the expert in China predicts that the exchange rate between CNY and USD is aiming 7:1 in the end of the year.

Brief Condition in China Domestic Hog Market:

Supply ⭐⭐⭐ Supply decreases due to the high mortality of piglets caused by extreme cold weather last year.

Demand ⭐⭐ Still in Weak Season because of hot weather and summer holiday.

Profit or Loss of Farmers ⭐ Profit (This week around 2 RMB/Head lost.)

Feed ⭐⭐ Feed price still in high level (Now Corn at 1.92RMB/KG, with y-o-y increase rate of 6.63%)

Overall ⭐⭐ Pork market will stabilized in low level

Market in Recent Weeks

- In recent weeks, the average hog price in China is fluctuating between 11.30-11.40RMB/KG. In Week 26 at 11.34RMB/KG, with m-o-m increase rate of 1.70%, and y-o-y decrease rate of 18.36%.

-The piglet price was at 25.5RMB/KG in week 23 , with m-o-m increase rate of 0.39%, and y-o-y decrease of 33.92.%.

Market in Week 26

- In week 26, the hog price rose slightly day by day from 11.32 to 11.36RMB/KG.

- Today at 11.38RMB/KG.

China Market Conclusion

The market price did not change a lot in recent weeks.

Level A: Front Feet, Hind Feet Short Cuts

Level B: Spareribs, Kidney, Pork Head

Level C: Ears, Knee Bones, Riblets, Half Head, Front Hock, Neckbone

Level D: Tail bones, Femur Bones, Back Bones

Stock Level:

High：Head, Hocks, Spareribs, Bone products