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Why do pork prices keep falling?
The fluctuation of live pig price has obvious periodicity, from low point to high point, and then to low point, the cycle is about three to five years. Now the pig production capacity has been fully restored. At present, the market supply shows a trend of falling volume and price. "Pig cycle" is a manifestation of the adjustment of resource allocation in the pig industry with the price. At present, the current "pig cycle" is still going on, and the price of live pigs has not bottomed out. Nowadays, pig farmers in rural areas are all modern business concepts. They are self-employed, selling their own meat, and there is no middleman. Even if the price bottoms out, they only earn more and earn less, not lose money. With the follow-up of aquaculture modernization, the cost of raising pigs has dropped, and the era when farmers lose money is gone forever. Next, as long as they don't give up, it is inevitable to make money. Blindly chasing speculative profits is just an accident.