Generally speaking, the track of the "pig cycle" is: the price of meat rises-the stock of fertile sows increases greatly-the supply of live pigs increases-the price of meat falls-a large number of fertile sows are eliminated-the supply of live pigs decreases-and the price of meat rises. This cycle usually repeats every 2-3 years.
One of the main reasons for the "pig cycle" is that the livestock products such as pork have a long breeding cycle, are not easy to store, and the price fluctuation trend lasts for a long time.
At present, the China Securities Regulatory Commission has officially approved the application for the live pig futures project of Dalian Commodity Exchange. In order to solve the hog price cycle, we should encourage the large-scale development of hog breeding besides placing our hopes on derivatives such as hog futures. Some insiders suggest that perhaps this round of pig price decline has just begun, coupled with the collection of environmental protection tax and the price increase of feed raw materials such as corn and soybean meal, a large number of free-range households may be eliminated in the future, which will force some free-range households and small and medium-sized pig farms to transform into family farms and large-scale pig farms.
So it's not that we don't care, but that policies, measures and so on need to be implemented step by step.