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Raw materials have soared, and feed prices are rising again. Why is it that CCTV is alarmed?

Due to the increase in raw materials, feed prices have increased continuously. Feed prices have increased significantly three times in three months, attracting the attention of CCTV. According to CCTV reports, starting from August 1, nearly 20 companies including New Hope, Zhengbang, and Dabeinong issued feed price increase notices again, with an average increase of 75 yuan to 100 yuan per ton. The compound feed prices of many manufacturers have increased from 2,400 yuan to 2,500 yuan per ton. In June and July, many feed companies have already experienced two price increases.

Geng Bo is a feed dealer in Bengbu, Anhui Province. He has been engaged in feed wholesale for more than 20 years. He told reporters that he mainly sells concentrated feed, which requires farmers to add corn after purchase, so the price increase will not be much during this period. Of the 20 tons of feed stored in his warehouse, only four tons are compound feed. After the price rises, it becomes difficult to sell.

Geng Bo told reporters that some farmers will buy compound feed to feed the pigs directly, while others will choose to purchase concentrated feed and mix it with corn. But after all calculations, no matter which method, the cost has increased a lot.

Farmers told reporters that when meat prices were low in 2017, the profit from a pig was only 300 yuan. This year, thanks to higher meat prices, the profit per pig is 2,000 yuan, so the increase in feed is still within an acceptable range. On the other hand, layer and broiler farmers are not so optimistic.

Extended information

The main reason for the rise in feed prices:

According to reports, the main reason for the rise in compound feed prices is the rise in raw material prices. Since March , corn prices rose sharply. Corn futures rose from 1,920 yuan per ton to nearly 2,300 yuan, an increase of nearly 20%, hitting a four-year high. Corn is the main raw material for pig feed.

Zhu Zengyong, an associate researcher at the Beijing Institute of Animal Husbandry and Veterinary Medicine, Chinese Academy of Agricultural Sciences, said that starting from the fourth quarter of 2019, the recovery of pig production capacity has led to an increase in feed demand, which has promoted the rise in feed prices to a certain extent.

Zhu Zengyong said: "From 2018 to 2019, my country's pig production capacity was on a downward trend, and feed demand also declined. At that time, for feed, the entire output was in a state of decline, and the demand for corn and soybean meal is declining. However, starting from the fourth quarter of 2019, pig production capacity has continued to recover, especially since February 2020. The increase in the supply of piglets has driven the continued recovery of the entire pig population, and the demand for feed has continued to increase, driving the current growth of the entire corn population. Price increases.

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