Swine fever surge hits farms in China's Sichuan; Govt moves to stabilize hog production

As large numbers of pigs are dying from African Swine fever (ASF) in Southwest China's Sichuan Province, analysts have warned that it could spread further across the south and slow China’s pork production recovery. According to Global Times, Sichuan Province, which is a major hog production base in the country, has already introduced measures to stabilize hog production and pork prices. The officials have asked departments at all levels to make every endeavour to stabilize hog production and pork prices, strengthen policy support and confidence, in order to reach this year's goals of producing 40 million hogs on hand and 58 million hogs for marketing. 

The deadly ASF virus had swiped out around half of China’s huge pig herd during 2018 and 2019 but the country rapidly rebuilt much of the lost stock last year. And now there have been fresh outbreaks in northern China this year, and there are more strains of the virus circulating. Sichuan province, which produced 48.5 million hogs for slaughter last year, about 9% of the country's total, is also seeing a resurgence of the virus.

Chinese govt to provide more support to farmers 

Most of those impacted are reportedly small farmers who had relaxed disease prevention measures to reduce cost after hog prices plunged in recent months. Amid the spread of ASF, the Chinese Ministry of Agriculture and Rural Affairs together with the Ministry of Finance and the China Banking and Insurance Regulatory Commission said that the government will provide more guidance and support to hog farmers through favourable fiscal and monetary policies. A hog breeder in North China's Tianjin even got a loan of 200,000 yuan to expand the hog breeding scale at the farm and improve farm conditions, Global Times reported. 

It is worth noting that China's Ministry of Agriculture and Rural Affairs reported two cases of swine fever in Sichuan in March, one in the east in Huaying city, and another in the far west. The latest outbreaks have created additional supply as farmers panic and send pigs to slaughter. Sichuan's hog price, usually higher than most regions because of its large population and high consumption levels, has fallen below the national average to 15.6 yuan ($2.40) per kg this week. Pork prices fell from 54 yuan ($8.35) per kilogram in January to 24 yuan in June. 

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