Pig futures are expected to solve the "pig cycle" problem. For a long time, the pig industry in China has been troubled by the "pig cycle". The cycle track of "pig cycle" is generally like this: high meat price-a large increase in fertile sows-an increase in the supply of live pigs-a decrease in meat price-a large elimination of fertile sows-a decrease in the supply of live pigs-an increase in meat price.

The approval of the listing of live pig futures is of great significance to the long-term and steady development of the live pig industry. By participating in futures trading, enterprises in related industries can promote the effective price discovery function of live pig futures and provide open, transparent and continuous price reference for the market, which is conducive to the optimization of resource allocation, reasonable control of breeding scale and healthy development of the whole industry.

Extended data

Pig futures will be the most valuable agricultural and sideline products and the first live delivery futures variety in China;

It is understood that China is the world's largest producer of live pigs and consumer of pork, and the consumption of live pigs and pork accounts for more than 50% of the world. In 20 19, China slaughtered more than 540 million pigs and produced more than 42 million tons of pork. Due to the recent price increase, the market scale has increased from nearly one trillion yuan in normal years to nearly two trillion yuan.

After more than ten years of development, the scale and standardization level of China's pig industry have been greatly improved. The market share of pig slaughtering in large-scale enterprises has increased to 53%, and the proportion of foreign three yuan has exceeded 70%, which has created more favorable conditions for the listing of pig futures.