China imports new record pork

Approximately 430.000 tons of pork were imported in July. Compared to the same period last year, this is more than double. The previous record of 400.000 tons in June has also been surpassed.

Surprising twist
The fact that a new record would be achieved was not expected and is even a big surprise given the uncertainty caused by the coronavirus. For example, China imposed strict controls on import shipments, which slowed meat imports. Meat imports from several slaughterhouses with corona infections were also suspended.

Over the first 7 months of the year, pork imports amounted to 2,56 million tons. This is an increase of just over 1 million tonnes compared to the same period last year. Including slaughterhouse waste, imports amounted to 3,38 million tonnes.

Rising prices
The domestic supply of pork is still minimal given that China's pig herd has shrunk significantly due to outbreaks of African swine fever. Pig prices are high and rose sharply again last month. Prices were approximately 10% higher in July than in June.

To keep prices down, the Chinese government regularly releases frozen pork from stock. During the month of July, a total of 48.000 tonnes of pork from stock was put on the market. In August, pork has already been released from stock several times.

Beef
Not only Chinese pork imports are higher, beef imports are also significantly higher than last year. Over the first 7 months of the year, beef imports are no less than 43% higher than last year. The 2 largest suppliers are Brazil and Argentina. Compared to the 5-year average in the period from 2015 to 2019, Brazil and Argentina increased their market share to 35% and 22%. Australia's market share has fallen from 19% to 16%