With the discontinuation of head pig farms, will there be changes in the secondary fattening channels? Analysts say it is advantageous for stabilizing pig prices.
Recently, there has been news that some top pig companies have temporarily suspended the sale of commercial pigs to second-stage fattening customers. Reporters learned from many pig companies such as Muyuan Stock, Shen Nong Group, and New Hope that at least two top pig companies have suspended this business, and only provide slaughter quarantine certificates for commercial pigs. This means that commercial pigs that can only be used for slaughter cannot enter the second-stage fattening process for further feeding. A person in charge of a top pig company said that the company will not sell live pigs to second-stage fattening customers, and will determine whether the pigs are used for "slaughter" or "feeding" through buyer's invoices. Another person from a top pig company said that the company strictly controls the sales process by only providing slaughter quarantine certificates for commercial pigs, and does not sell commercial pigs to second-stage fattening customers. A general manager of a pig company stated that although there is no accurate information on the policy side, there is a trend among other companies in the industry to prevent second-stage fattening. An industry insider mentioned that on the afternoon of May 29th, three top pig companies held a meeting with buyers and discussed the issue of not selling commercial pigs for second-stage fattening. According to industry analysts, second-stage fattening artificially extends the time before pigs are slaughtered, causing significant differences in the number of pigs slaughtered at each stage, resulting in the phenomenon of "boosting prices and causing fluctuations".
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