Crashing Oil Prices And COVID-19 Coronavirus Fears Drive Chinese Pork Prices To The Heavens

By admin On Mar 9, 2020

I have written articles for a while talking about the importance of pork to Chinese food security policy. While people make jokes about “bringing home the bacon”, the ability or inability of people to afford pork in China has direct consequences for the Chinese government and people because they rely on the meat for national sustenance. Destabilizing pork prices is so serious that it could cause a revolution or mass starvation.

No matter what one believes or suspects about the current situation with the COVID-19 coronavirus and the current decline in oil prices, the fact is that both are driving the price of Chinese pork to the heavens according to the Financial Times published by way of Zero Hedge.

Piglet prices in China soared to record highs on Thursday (March 5) amid supply chain woes that persist from the Covid-19 breakout. Farmers have been attempting to rebuild their herds as supplies remain tight after African swine fever decimated 40% of the country’s pig supply in 2019.

Chinese spot prices for piglets jumped to a record high of 126 yuan ($18.11) per kilogram last week, nearly a 600% increase since the start of 2019. The latest surge in prices was attributed to supply chain disruptions as transportation networks across China remained closed due to virus containment measures, which prevented farmers from shipping piglets to meat markets, said Financial Times. (source)

Watch the situation with pork carefully because as the economic problems continue to mount from the effects of this virus, there is a strong chance that one might start to see serious food problems in China.

The government will deny it, but the potential exists and could materialize into something more.

This is why the CCP is so afraid. It is not about just a virus. It is about the effects around the world that it will have on China and her power that she is unable to control.