China to reduce sow herd to prevent excessive price drops

China’s Ministry of Agriculture and Rural Affairs announced plans to reduce the national breeding sow inventory by 1 million animals, aiming to correct market imbalances and ease rising deflationary pressures in the economy. This move will bring the current sow herd down from 40.38 million to approximately 39.5 million.

The decision follows months of falling pork prices and growing frustration among Chinese producers, many of whom have been operating at a loss of nearly US$ 14 per marketed pig, according to Eurocarne.