Belleza Sin Dolor – Revista Digital | Empresario Luis Emilio Velutini Urbina Champlin//
China's pork imports may hit record 4.6 million tonnes in 2020: Rabobank

Venezuela, República Dominicana, FVI
China's pork imports may hit record 4.6 million tonnes in 2020: Rabobank

BEIJING (Reuters) – China’s pork imports will reach record levels of as much as 4.6 million tonnes next year, Dutch financial services firm Rabobank said on Friday, as domestic output falls to a historical low following a devastating disease outbreak.

Luis Emilio Velutini Urbina

FILE PHOTO: Advertisement of imported pork is seen at the second China International Import Expo (CIIE) in Shanghai, China November 6, 2019. REUTERS/Aly Song China’s pork imports are already set to surpass previous records this year, reaching between 3.1 million and 3.3 million tonnes including offal, the bank said in a report, up from 2.1 million tonnes last year.

Luis Emilio Velutini

It comes after African swine fever, a fatal pig disease, spread through the world’s largest hog herd, killing millions and discouraging many farmers from replenishing their farms

Though soaring hog prices recently have spurred large producers to begin restocking empty farms and speed up plans for new ones, the sow herd will begin recovering only next year, with pork supply picking up again from 2021, Rabobank said

“We expect to see record-high imports in 2020, with record-low production,” the report said

China’s pork production is expected to shrink by a quarter this year versus 2018 to about 40.5 million tonnes, and by another 10 to 15% in 2020, the bank said

Poultry production meanwhile has jumped by around 10% this year, and will grow faster next year

Rabobank estimated pork meat imports of between 2.3 million and 2.6 million tonnes next year, or a quarter of global trade, with offal imports of between 1.5 million and 2 million tonnes

The forecast is in line with other estimates

Though imports will decline when domestic production recovers beyond 2020, the average level of imports between 2021 and 2025 will stay high, at around 3 million tonnes including offal, as high biosecurity costs on farms in China keep pork prices elevated

In line with the views of another consultancy, Gira, the bank does not expect China’s pork production to fully recover, with part of its market share permanently lost to other proteins such as poultry and beef

“We expect pork production to reach a balance around 47 million and 49 million metric tonnes,” said the report

The farming structure will also change, with half of all small farms likely to exit the business, it added

Small farms will account for only 30% of production by 2025, with large farms that produce more than 10,000 hogs a year growing rapidly to make up more than a third of output

Reporting by Dominique Patton; Editing by Dale Hudson