17.
09.16
17:29

China's pork imports from the EU expensive or cheap in the United States?

As price-oriented China imported pork? China has begun with the year 2015 at the latest, its increasing imports of pork with above-average growth rates. Background is the own generation with the reduction of 20% of the sows stocks reduced for economic reasons. The missing profitability resulted from Government-guaranteed prices for cereals and feed on one side and not as high pork prices on the other side.   Nevertheless, the demand remains high, so that Chinese pork prices in the aftermath of well above €3 per kg has risen. China's pork imports were concentrated in the past largely on less valuable pieces, the waste management character partial in other countries have.  In the meantime, also cuts are imported from the pig, located in the scarce the price scale. In the choice of the countries which received EU a special priority status. With monthly 120,000 tonnes, the selected EU supplier countries reached a triple higher surcharge amount as the United States. Other exporters such as Brazil and Canada also reached the scale of the EU amounts. Until recently the United States with increasing exports benefit to China in the manageable range. The question arises about the benefits of EU exports to China. Stands next to certain hygiene, quality and logistic requirements in particular the question of in the foreground. For a price comparison, one would have to compare the courses of the sections depending on the region of origin. This little information available. The pieces are for the EU's export earnings average between 1.15 to €1,49 / kg. To establish a significant connection between the different US and EU prices and the increasing export quantities from their respective areas, does not succeed. In light of the recent Drift apart in pig prices between the United States and the European Union the question remains for the time being after the Chinese import demand price elasticity. An barrier to US exports to China is the Ractopamine issue, a growth which is not allowed in China. But the U.S. companies that can adapt. Another inhibiting factor arising from the situation of conflict the U.S. action against China because of excessive agricultural subsidies. The complaint before the WTO arbitration could lead to a politically motivated rejection of agricultural from the United States. Soybean imports, a Chinese boycott in pork could be practiced. Even if no conclusive evidence of a link between the different prices and quantities can be derived from the previous data, is to assume that a process of adaptation will take place. First signs stagnant Chinese import volumes, that further increases as in the past hardly to be expected. Extent to which an exchange of the imports from the low-cost supplier will take place at the expense of the relatively expensive EU United States, remains open.  Increasing numbers of EU battle in the autumn / winter period and stagnant export the EU pig prices be can't keep their high level.  

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