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China livestock Market Review & Outlook Proposal 2009/2010

Table of Contents :

Chap 1 External Environment 1

1.1 Macro Economic and Impacts 1

1.1.1 Employment and Income Growth 1

1.1.2 Food Expenditure 1

1.1.3 Urbanization 1

1.2 Macro Policies and Impacts 2

1.2.1 Document No.1 of 2009 2

1.2.2 State councils executive meeting: Support the development of livestock industry 2

1.2.3 Ministry of agriculture: foreign investment introduction must be in favor of Chinese farmers 2

1.2.4 Supply policy 3

1.2.5 State-owned Company re-dominate livestock products processing industry 3

1.2.6 Information statistics system 3

1.2.7 Advantageous Regional Layout of chinas beef cattle, sheep, milk cow and pig 3

1.2.8 Construction of quality supervision station of agriculture products 4

1.2.9 Give out consume subsidy to low income group 4

1.3 Epidemics Prevention System and Impacts 4

1.3.1 Construction of Animal Epidemic Prevention System 4

1.3.2 Debut of official vet 4

1.4 Development and impact of slaughter industry 5

1.4.1 Appointed slaughter of flocks and herds 5

1.4.2 Tracing System of Quality of Pork 5

1.4.3 Slaughterhouses classification 5

1.4.4 Plan on hog slaughtering industry (2010-2015) 5

1.4.5 Other Companies Engage in Breeding 5

1.5 Development of Feed Industry and Impacts 6

1.6 International Trade of Animal Products and Impacts 6

Chap 2 China Profile 7

2.1 Supply of Animal Products in 2009 7

Fig 1.1, Output of Pork, Beef, Mutton, Poultry Meat and Poultry Eggs from 2000-2010 7

2.2 Demand for Animal Products in 2009 7

Fig 1.2, Total Consumption of Pork, Beef, Mutton, Poultry Meat and Poultry Eggs from 2000-2010 8

2.3 Livestock Slaughter and Processing in 2009 8

Fig 1.3, Meat Production of Scaled Slaughterhouses from 2001-2009 8

2.4 Price Level of Animal Products in 2009 9

Fig 1.4, Trend of Retail Price of Animal Products from 2000-2010 9

Fig 1.5, Trend of Weighed Price of Animal Products from 2000-2010 10

2.5 Profits of China Animal Farming in 2009 10

2.6 Changes of Animal Farming Scale in 2009 10

2.7 International Trade of Animal Products in 2009 10

Fig 1.6, China Animal Products Import, 2000-2010 11

Fig 1.7, China Animal Products Export, 2000-2010 11

Chap 3 Pork Market 12

3.1 Global Pork Output in 2009 12

3.2 Supporting Policy to Hog Farming 12

3.2.1 Fattening Hogs and Insurance 12

3.2.2 Early-warning System of Hog Farming 12

3.2.3 Establishment and operation of Pork Reserve System 12

3.2.4 Establishment of pig exchange 12

3.3 Pork Supply 13

3.3.1 Breeding Hog Inventory in 2009 13

Fig 3.1, China Sow Inventory from 2000-2010 13

3.3.2 Hog Inventory & Crop and Pork Production in 2009 13

Fig 3.2, China Hog Inventory from 2000-2010 14

Fig 3.3, China Hog Crop from 2000-2010 14

Fig 3.4, China Pork Output from 2000-2010 15

Fig 3.5, Regional Structure of Hog Crop in 2009 15

3.3.3 Hog Farming Scale in 2009 15

Fig 3.6, Scale Structure of Hog Slaughtering from 2001-2009 16

Fig 3.7, Scale Structure of Hog Farms in 2009 16

3.3.4 Hog Epidemics in 2009 16

3.3.5 Ractopamine pork in 2009 17

3.3.6 Outlook of Pork Supply in 2010 17

3.4 Hog Farming Profits 18

3.4.1 Hog Farming Cost in 2009 18

Fig 3.8, Structure of Hog Farming Cost from 2008-2010 18

3.4.2 Live Hog Price in 2009 18

Fig 3.9, Monthly Live Hog Price from 2005-2009 19

3.4.3 Profit of Hog Farming in 2009 19

3.4.4 Forecast of Hog Farming Profit in 2010 19

3.5 Hog Slaughter and Processing 19

3.5.1 Policy on Hog Slaughter and Processing in 2009 19

3.5.2 Structure of Hog Slaughterhouses in 2009 19

Fig 3.10, Quantity Structure of Slaughterhouses by Capacity in 2009 20

3.5.3 Hog Slaughter Capacity in 2009 20

Fig 3.11, Capacity Structure of Hog Slaughterhouses in 2009 21

3.5.4 Hog Slaughtering in 2009 21

Fig 3.12, Structure of Slaughtering Volume of Hog Slaughterhouses in 2009 21

3.5.5 Profit of Hog Slaughtering Industry in 2009 22

3.5.6 Forecast of Hog Slaughtering Industry in 2010 22

3.6 Pork Consumption 22

3.6.1 Pork Consumption Volume in 2009 22

3.6.2 Structure of Urban and Rural Consumption of Pork in 2009 22

3.6.3 Structure of Pork Consumption of Different Channels in 2009 22

3.6.4 Structure of Pork Consumption of Different Product Style in 2009 22

3.6.5 Price Level of Pork in 2009 23

Fig 3.13, Monthly Retail Price of Pork from 2005-2009 23

3.6.6 Influence of H1N1 23

3.7 Pork Trade 23

3.7.1 Policy on Pork Trade in 2009 23

3.7.2 Pork Export in 2009 23

Fig 3.14, China Pork Import & Export from 2000-2009 24

3.7.3 Import of Pork in 2009 24

3.8 Outlook of Pork Market in 2010 24

3.8.1 Hog Farming Policy 24

3.8.2 Hog Inventory and Slaughter 24

3.8.3 Pork Production 24

3.8.4 Pork Consumption 24

3.8.5 Pork Trade 25

3.8.6 Pork Price 25

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