# China's hog farmers face long slog in return to profit | Reuters

> Reuters reports that Chinese hog farmers face record losses from surging feed costs and weak pork demand, and are switching to lower-quality grain and cutting soymeal. Soymeal futures rallied 15% in March to a record 4,428 yuan per tonne after smaller-than-expected shipments from Brazil, with cash prices above 5,000 yuan. Corn is also at elevated levels.

- Date: 2022-03-25 · published 2022-03-25T12:00:00.000Z
- Category: trade · region China · magnitude medium
- Page: https://feedsoft.ai/events/42289-china-s-hog-farmers-face-long-slog-in-return-to-profit-reuters
- Commodities: [Soybean Meal](https://feedsoft.ai/c/SBM.md), [Corn](https://feedsoft.ai/c/CORN.md), [Lean Hogs](https://feedsoft.ai/c/HOGS.md)

## Why it matters

Smaller Brazilian soybean shipments are tightening soymeal supply and lifting feed costs, which prompts farmers to substitute away from protein. Lower soymeal use could cap demand even as prices stay high, while hog losses signal weaker livestock feed demand ahead.

## Read by commodity

- SBM: bullish ▲
- CORN: bullish ▲
- HOGS: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SBM | 2019-07-23 | [U.S. farmers look past trade fears to cash in on China's hog crisis](https://feedsoft.ai/events/58091-u-s-farmers-look-past-trade-fears-to-cash-in-on-china-s-hog-crisis.md) | -1.4% | -5.3% |
| SBM | 2025-03-20 | [Canadian farmers face two-front trade war as China duties take effect \| Reuters](https://feedsoft.ai/events/25532-canadian-farmers-face-two-front-trade-war-as-china-duties-take-effect-reuters.md) | -1.0% | +0.7% |
| SBM | 2022-03-25 | [China's soymeal prices increase to record highs further affecting pig farmers - European Pork \| European Pork, the Smart Choice](https://feedsoft.ai/events/42290-china-s-soymeal-prices-increase-to-record-highs-further-affecting-pig-farmers.md) | -3.8% | -5.5% |
| SBM | 2021-09-24 | [China's soybean demand in Q4 set to slacken as crushers face power cuts: trade](https://feedsoft.ai/events/45137-china-s-soybean-demand-in-q4-set-to-slacken-as-crushers-face-power-cuts-trade.md) | -2.5% | -3.2% |
| SBM | 2018-02-06 | [China supersizes pig farms to cut costs in world's top pork market](https://feedsoft.ai/events/66492-china-supersizes-pig-farms-to-cut-costs-in-world-s-top-pork-market.md) | +9.4% | +17.6% |
| CORN | 2019-07-23 | [U.S. farmers look past trade fears to cash in on China's hog crisis](https://feedsoft.ai/events/58091-u-s-farmers-look-past-trade-fears-to-cash-in-on-china-s-hog-crisis.md) | +0.9% | -10.8% |
| CORN | 2019-10-18 | [China's pork shortage could give US farmers a chance to cash in](https://feedsoft.ai/events/56566-china-s-pork-shortage-could-give-us-farmers-a-chance-to-cash-in.md) | -1.6% | -2.4% |
| CORN | 2022-02-09 | [Plunge in U.S. soy exports to China in 2021 exposes Phase 1 flaws  \| Reuters](https://feedsoft.ai/events/14955-plunge-in-u-s-soy-exports-to-china-in-2021-exposes-phase-1-flaws-reuters.md) | +0.5% | +15.2% |

## Sources

- reuters.com: https://www.reuters.com/world/china/chinas-hog-farmers-face-long-slog-return-profit-2022-03-25/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.