China 2024 pork output falls for first time in four years
Beef and poultry output rise
17 January 2025
2 minute read
By: China's pork production in 2024 fell for the first time after rising for three years straight, official data showed on Friday, as livestock companies reduced slaughter rates due to ample hog supply and weak meat demand, reported Reuters.
The world's biggest pork-producer generated 57.06 million metric tons of pork in 2024, down 1.5% from 57.94 million tons in 2023, which was the second-highest on record.
Farmers slaughtered 702.56 million hogs in 2024, down 3.3% from a year earlier, the data showed.
China accounts for about half of the world's pork consumption. The winter season during the fourth quarter is typically a high season for pork and cured meat consumption.
In the fourth quarter, production fell by 1.8% year-on-year to 14.66 million metric tons, a decrease from a year earlier for the fourth consecutive quarter, according to Reuters calculations of the data from the National Bureau of Statistics.
Despite tepid demand, some companies ramped up production in the fourth quarter after inventory and cost cuts helped them return to profitability.
Many of China's large hog companies are now expecting to raise slaughter rates in 2025 after slowing down production in 2024.
Wen's Foodstuff Group said it aims to slaughter 34 million hogs this year, a year-on-year increase of 12.65% compared with 2024, while New Hope plans to slaughter 1 million to 2 million more hogs.
China's pig herd stood at 427.43 million at the end of December, a decrease of 1.6%, the data showed.
The sow herd was down 1.9% at 40.80 million at the end of November, according to separate data from China's agriculture ministry.
Despite a smaller herd size, analysts expect China's hog supply in 2025 to remain in excess of demand and pressure prices due to improved productivity of sows.
Cash hog prices have fallen to below 16 yuan per kg since December and have remained around that level, down from a peak of 21 yuan in August, according to data from consultancy MySteel.
In a report on Friday, it said prices may come under pressure in the months ahead following the Lunar New Year later this month.
"After the Lunar New Year, as the market enters the traditional off-season and slaughterhouse orders decrease, hog prices may face a downturn, with lower procurement costs for slaughterhouses and more negative factors leading to a decline in wholesale pork prices," the report said.
China's beef output rose last year by 3.5% to 7.79 million tons. Poultry output increased 3.8% to 26.6 million tons and lamb and mutton decreased 2.5% to 5.18 million tons.
