Pork Prices up 50% in 4 Months in Guangzhou

Farmers are rushing to expand pig production as profits rise to 500 yuan a head amid a 50% price spike.

The reason for the price spike:

1. Low profitability the year before caused farmers to reduce the number of sows
2. Piglet costs were/are rising
3. Farmers seeing the rise in pork prices, have been holding back their animals for sale

It's likely the PBOC also has a hand in this. Pork is up 50% in Guangzhou at the same time houses are up 25% in neighboring Shenzhen.

Finally, if the recent past is any guide, we can look forward to the great pork crash of 2016.

iFeng: 广州猪价4月涨五成 养殖户每头赚500元紧急补栏