Livestock farming profit in China in 2012 shrunk a lot compared with 2011. Hog price dropped and ran at low level continuously, profit of hog farming industry was basically around low level since the beginning of the 2nd Quarter. Profit level of broiler farming industry dropped as well due to the decreasing chicken price, certain enterprises with poor management even suffered serious deficit. For layer breeding industry, market condition was quite gloomy and certain enterprises shut down gradually from production capacity surplus in the first half of 2012, egg price increase was noted till the 3rd Quarter, which dropped again in the 4th Quarter. In spite of the price increase of beef and mutton, increase of breeding profit level was not that obvious. In conclusion, continuous increasing cost and slower consumption demand are the major factors that caused the decreasing livestock-poultry breeding profit level.
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Under the gloomy condition of livestock industry in China in 2012, adjustment in terms of production capacity and farming structure was noted, profit difference was becoming more obvious. Business operation for small scale enterprises was harder and harder, while the business of standardized, industrialized and automated medium-large scale enterprises was expanding, entry standards were set higher. Top farming and slaughtering enterprises never slowed down their expansion. Take Shuanghui Group for an example, it started local cooperation with medium-small scale slaughtering houses in Zhengzhou, Huaiￂﾒan, Chongqing and Nanchang to drive up its market share. All sorts of capitals were noted entering breeding and slaughtering industry, trying their best to win the market in the process of industrialization in China.
Regarding imp & exp, import quantity of almost all kinds of meat went up obviously, which made the gloomy domestic livestock product market condition even worse, meanwhile the export meat quantity kept dropping. Trade deficit of meat was widened in China.
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In case of mild animal epidemic and normal supplying capacity in the coming 2013, prediction of livestock product market in China is not quite optimistic, the low breeding profit period might be prolonged with vague consumption demand trend. In "China Livestock Market Review & Outlook 2012-2013", deep analysis, such as supply-demand, price change and trade condition regarding hog, meat poultry, egg poultry, beef cattle and mutton sheep, will be made to try to figure out the development direction of livestock product market in China for the related enterprisesￂﾒ reference.
Special Research Report on China Dairy Cow Farm: http://www.marketresearchreports.biz/analysis/93383
The occurrence of China's baby formula scandal has triggered the need for scaled dairy farming across the country. During the recent years, the State Council has kept on promulgating new policies in support of the scaled farming of dairy cattle. In September 2007, the State Council issued a document titled Opinions of the State Council on Promoting Sustained and Healthy Development of Dairy Industry (G.F.?2007?No. 31).
The document says: "Efforts shall be stepped up to accelerate the scaled, intensive and standardized development of the farming sector by means of developing scaled farming neighborhoods (dairy farms) so as to gradually solve the problem of the dairy cattle farming being small and scattered.
The agricultural authorities shall speed up efforts in formulating standards for scaled farming of dairy cattle, and the proportion of scaled dairy farming shall be increased remarkably by 2012." In November 2008, the Planning Outline for Regulating and Revitalizing the Dairy Industry was issued, which called for promoting the scaled and standardized dairy farming.
China Feed Market Review & Outlook 2011-2012: http://www.marketresearchreports.biz/analysis/93371
In 2012, several policies regarding feed industry were published in China, which shall have profound influence on China feed industry. Standards for feed and feed additive manufacturers are set higher, medium-small scale enterprises that China's qualify would have to shut down, while the large scale ones will celebrate their amazing development opportunities.
With reference to market, large scale feed enterprises went on steadily in 2012 as usual. The prices of feed ingredients such as soybean meal, corn, fishmeal, etc. increased greatly in 2012 compared with 2011, while boom index of breeding industry went through continuous decline. Taking the year of 2012 as a whole, hog breeding profit was at low level, broiler breeding industry hardly saw any profit or even experienced deficit, layer breeding industry¬ís scale shrunk due to production capacity surplus. All of the above limited the end consumption ability of feed products compared with 2011. For medium-small scale manufacturers, both governmental policy and market condition made it harder for them to survive, while the large scale manufacturers strengthened their competitiveness and risk resistance capability by advantages in formulation technology, industry chain, management, capital and raw material purchase, etc. Gap between medium-small scale manufacturers and large scale manufacturers was widened.
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