# Fatter pigs, new farms to boost China soymeal demand

> China's pig farmers are raising fatter pigs to capture soaring pork prices, supporting soymeal demand despite a 38% drop in the herd in August. Analysts expect soymeal demand to fall 6-7% in the 2018/19 crop year before recovering, with consumption rising 2.8% to 66.3 million tonnes in 2019/20.

- Date: 2019-09-27 · published 2019-09-27T12:00:00.000Z
- Category: disease · region China · magnitude medium
- Page: https://feedsoft.ai/events/57086-fatter-pigs-new-farms-to-boost-china-soymeal-demand
- Commodities: [Soybean Meal](https://feedsoft.ai/c/SBM.md), [Soybeans](https://feedsoft.ai/c/SOY.md)

## Why it matters

Heavier hogs partly cushion the feed demand loss from the herd collapse, so soymeal demand declines are smaller than the herd drop implies. This is mildly supportive for soybean meal prices and bearish for the imported soybean volume outlook.

## Read by commodity

- SBM: bullish ▲
- SOY: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SBM | 2019-07-10 | [China’s egg prices surge as swine fever boosts demand for chickens](https://feedsoft.ai/events/58097-china-s-egg-prices-surge-as-swine-fever-boosts-demand-for-chickens.md) | +0.2% | -4.2% |
| SBM | 2019-03-28 | [African Swine Fever in China Helps Boost U.S. Hog Prices - Farm Policy News](https://feedsoft.ai/events/60239-african-swine-fever-in-china-helps-boost-u-s-hog-prices-farm-policy-news.md) | +2.2% | +0.5% |
| SBM | 2019-08-30 | [eFeedLink - China's Re-booted Poultry Sector, Version 2.0: Rising chickens, falling pigs and new eating trends](https://feedsoft.ai/events/57739-efeedlink-china-s-re-booted-poultry-sector-version-2-0-rising-chickens-falling.md) | -1.6% | -0.7% |
| SBM | 2019-02-03 | [FEATURE-Swine fever outbreak may bury China's small pig farmers](https://feedsoft.ai/events/60583-feature-swine-fever-outbreak-may-bury-china-s-small-pig-farmers.md) | -1.8% | -1.8% |
| SBM | 2020-10-01 | [China's pig herd rebounds after swine fever, but pork supply will take time to recover \| Financial Post](https://feedsoft.ai/events/50641-china-s-pig-herd-rebounds-after-swine-fever-but-pork-supply-will-take-time-to.md) | +6.3% | +10.9% |
| SOY | 2021-04-15 | [More wheat feeding and pig disease outbreaks pose double threat to China soymeal demand \| Reuters](https://feedsoft.ai/events/47642-more-wheat-feeding-and-pig-disease-outbreaks-pose-double-threat-to-china.md) | +6.2% | +17.8% |
| SOY | 2020-02-20 | [Soybeans drop on China demand worries, wheat near 4-week peak \| Financial Post](https://feedsoft.ai/events/10635-soybeans-drop-on-china-demand-worries-wheat-near-4-week-peak-financial-post.md) | -1.8% | -8.0% |
| SOY | 2021-02-26 | [China's soymeal futures plunge on pig disease concerns](https://feedsoft.ai/events/48623-china-s-soymeal-futures-plunge-on-pig-disease-concerns.md) | +0.7% | +0.6% |

## Sources

- reuters.com: https://www.reuters.com/article/us-china-swinefever-feed/fatter-pigs-new-farms-to-boost-china-soymeal-demand-idUSKBN1WC0CP/

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