The concentration of China's pig industry is rising rapidly!

Data show that the head pig enterprises, Makhara shares in 2020 out of the target of 17.5-20 million head, 2021 out of the column volume will reach 40-50 million head; Wen's shares will have a target of 12 million head by 2020 and 30 million head by 2021. Zhengbang Science and Technology in 2020 out of the target of 10 million head, 2021 out of the column volume will reach 25 million head; The new target is 8 million by 2020 and 25 million by 2021.
that is to say, the four companies alone, Makhara, Zhengbang, Wenshi and New Hope, add up to a target of 130 million pigs in 2021.
And according to the Ministry of Agriculture and Rural Affairs in October 2020 monitoring data show that China's pig storage volume of 387 million, production capacity returned to 88% in 2017, while the November 2020 data show that production capacity has been restored to 90%, pig storage capacity has reached 396 million head, according to the national pig production capacity will determine the next year's pig column volume calculation, it is expected that in 2021 China's pig column volume of up to 400 million.
this calculation, the four head pig enterprises in 2021 will account for 32.5% of the national column, the scale of concentration can be seen.
The Ministry of Agriculture and Rural Affairs also said, "China's large number of high-level scale pig farms rapidly rise, pig farming is expected to reach about 57% in 2020, 4 percentage points higher than in 2019, significantly higher than the annual rate of 2 percentage points."
", although China's pig production capacity has recovered rapidly, but this has not affected the industrial capital to increase the intensity of pig industry investment.
December 29, 2020, Huading Shares announced that the company has signed a framework agreement on cooperation with the People's Government of The People's Government of The People's Bank of China, with a plan to invest about 1 billion yuan in the company.
, the company intends to invest 50 million yuan to set up a wholly-owned subsidiary in Shixi to improve the integrated business model of the pig industry chain.
December 30, 2020, Tiankang Bio disclosed plans for a non-public share issue, proposing to raise no more than 2.1 billion yuan for piglet breeding, pig fattening and replenishment.
said that the current pig business has landed, is progressing smoothly.
According to the future development plan of pig head enterprises, it is expected that after about five years of development, by 2025 alone, Wenshi, Makhara, Zhengbang, Zhengda, Cofco, New Hope, Tianbang, Twins, Dekang, Haida, Tang God, Ao Nong, Jingji Zhinon and other 13 pig enterprises, the total market share of 294 million head, 13 companies will reach 2025222.
the concentration of pig industry has brought far-reaching influence to the development of pig industry.
, along with the increase in the concentration of the pig industry, on January 8, 2021, pig futures were finally listed on the Dalian Commodity Exchange, and pig companies have since had hedging tools.
, pig farming industry is a cyclical industry, the price fluctuations are fierce, the urgent need for pig futures to provide hedging.
, however, for quite a long time, although the industry continued to cry, but pig futures are very difficult to call out.
for no reason, what to use as a pig futures delivery target, is a difficult problem.
And the increase of the concentration of pig breeding industry, not only let pig farming enterprises have a scale effect, but also let pig farming into the era of standardization and standardization, which for pig futures to choose live pig as the delivery target to create conditions.
recently, the pig futures contract and related implementation rules of the big commercial companies officially released, pig live body has officially become the delivery target.
The reason for choosing live pigs, according to the relevant person in charge of the Trade Institute, at present, large-scale enterprises breed pig varieties are basically a higher degree of standardization of lean pig, the implementation of varieties, feed, veterinary drugs, technical services, sales of five aspects of unified supply and management, to achieve the pig breeding process and out of the column quality standardization.
at the same time, compared with pigs, other products in the industrial chain such as cold white pork (pig carcass), split pork and price index are currently affected by the actual situation of pig spot in China, temporarily do not have the conditions for listing futures.
therefore, large traders choose live pigs as the futures trading target.
And in the trading, delivery unit design, large traders refer to the futures market design habits and pig spot market characteristics, pig futures trading units and delivery units are set to 16 tons / hand, about 135 pigs, equivalent to the spot trade in the mainstream 9.6 meters three-tier pig truck a car transport volume.
the transaction and delivery unit size close to the pig spot trade habits and transport practices, more convenient for the participation of aquaculture enterprises, can effectively serve the pig industry chain upstream and downstream enterprises hedging demand.
, the increase in the concentration of pig farming industry also facilitates commercial banks to provide credit support to large-scale pig farming enterprises, and better meet the financing needs of pig farming enterprises.
the current head pig enterprises are mostly listed companies, financing channels, but bank loans are still pig farming enterprises indispensable important funding channels.
fact, from the head pig enterprises to move billions of yuan of investment scale, in order to make the project smooth implementation, obviously can not be separated from the support of bank credit.
And compared with the traditional pig breeding method, the current high concentration of pig farming, can make commercial banks better docking large-scale breeding enterprises, through the promotion of live pig mortgage loans, housing mortgage loans and other loan varieties, crack the pig farming enterprise loans "mortgage difficult."
, the improvement of the concentration of pig farming industry also facilitates commercial banks to vigorously develop industrial chain financing, with the help of industrial chain financing, to alleviate the financing difficulties of related enterprises in the industrial chain.
the upper and lower reaches of every large-scale aquaculture enterprises are gathered a considerable number of small and medium-sized enterprises, including pig farmers.
Many small micro-enterprises or pig farmers rely solely on their own strength, it is difficult to obtain bank credit support, and with the guarantee and help of the core enterprises in the industrial chain, not only banks are willing to put loans, small micro-enterprises and farmers, but also to obtain the necessary funds, credit funds can thus penetrate into the industrial chain "nerve endings" or "hairy blood vessels" to go, and then run the entire industry.
For the core enterprises, the smooth flow of the industrial chain, close the relationship between upstream and downstream customers, its own development is also very beneficial to the stability of pig production, increase the income of farmers, especially to consolidate and expand the results of poverty eradication is of great significance.
Of course, the rapid increase in the concentration of pig farming industry, but also easy to form an oligopoly, and even the emergence of head pig enterprises between the price "collusion", which requires the relevant parties through the adjustment of policy levers, to create both "big trees", but also "shrubs", more "grass" symblocation of a good pig breeding ecological environment.