China is the largest pork
consuming and producing country in the world. Statistics have shown that the
annual volume of pork consumption from 2010 to 2018 has already passed 50
million tonnes in China, with over 700 million pigs on the market. According to
data collected by Qcc.com, there are 410 thousand pig enterprises within China
with 330 thousand pig enterprises in operation.
The price of pork has soared
across China since last year, and therefore, many enterprises intend to enter
the pork industry this year. Recently, China Vanke has recruited a number of
job positions in the pork industry. This news went viral on the internet in
China, and many Chinese companies have followed suit. The data collected by
Qcc.com shows that the number of enterprises registering in the pork industry reached
12 thousand in the first quarter of 2020, although COVID-19 spread throughout
China during that time, which was 1.5 times the number from the same period
last year. During the second quarter of 2020, with the improvement of the
COVID-19 situation, the number of registered pork enterprises reached 25,000,
which is a surge of 178% compared to the same period last year. Data from
Qcc.com also shows that the registered capital of 71% pork enterprises is no
more than RMB 1 million, with only 3% of pork enterprises registering with a
capital of over RMB 10 million.
Pig production increases throughout China as more companies
join pork industry
In addition, in terms of the
area in which the most pork enterprises are registered, Hubei province, which
is a top-rank nationwide province for livestock raising and marketing, contains
the largest number of registered pork enterprises, reaching 29,000, while the
number of registered pork enterprises in Yunnan and Shandong province is 26,000
and 22,000 respectively, ranking second and third nationwide.
According to Qcc.com, before
China Vanke’s business in the pork industry, other Chinese top real estate
enterprises such as Country Garden, Wanda, and Evergrande also started business
in the pork industry. In addition, internet enterprises such as NetEase,
Alibaba and JD.com apply their advanced technologies to pork breeding. For
example, AI pig face recognition is a technology to identify a pig’s
information such as a pig’s code, parents, breed, growing environment, health
condition as well as food intake; Alibaba Cloud’s ET Brain is a technology that
provides methods and solutions for pork enterprises.
Muyuan plans to build 100 pig farms in
Nanyang, Henan by 2020
Muyuan Group plans to
build around 100 pig farms in Nanyang city, Henan province in 2020, with the
goal of sending 10 million pigs onto the market. The president of Muyuan Group
said during an interview that keeping pork production volume steady is one of
the top priority projects that affects people’s livelihood. It is also an
important political task for the Chinese government. Muyuan’s pig breeding
project, with a total investment capital of RMB 12 billion, can help increase
job positions, promote economic development in various industries such as
commercial and trade logistics, finance and insurance, construction as well as
catering services.
According to the
president, last year, Muyuan put 11 million pigs on the market, and it was
expected that there would be between 17.5 million and 20 million pigs on the
market this year. Although COVID-19 makes the international economic situation
more complicated, the goal of Muyuan to become an international enterprise will
not change. Muyuan is devoted to producing more pigs, and making more
contributions to the development of the society and economy.
For more information on
China’s pork market, please check our resources on Food
and Feed market or email emarket1@cnchemicals.com.
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