Pork prices in Beijing have staged a modest rebound in past few weeks after falling to their lowest levels in years, traders and analysts said, as expectations of tighter hog supply helped support the market.
At the pork section of Beijing's Xinfadi wholesale agricultural market, vendors said prices bottomed out in mid-April before gradually stabilizing.
"Prices kept falling in the first half of April and dropped to the lowest level for the same period in seven or eight years. They bottomed out in late April and have now become relatively stable," said Liu Yinghui, a vendor at the Xinfadi market.
"Pork prices had risen by about one yuan per 500 grams," said Liu Yueping, another vendor at the market.
Market observers said the rebound was partly driven by a recovery from previously depressed price levels, as well as expectations of tighter supply following reductions in hog production capacity.
Data from the National Bureau of Statistics showed China's breeding sow inventory stood at 39.04 million head at the end of the first quarter, down 1.5 percent from the previous quarter and 3.3 percent from a year earlier.
Separately, data from the Ministry of Agriculture and Rural Affairs showed national live hog prices have risen for three consecutive weeks since late April.
"Although the average wholesale price of dressed pork has seen a temporary rebound, overall prices remain at a relatively low level," said Liu Tong, an analyst at the Xinfadi market.
Beijing pork prices rebound from years' low
