China's pork demand to increase 32% by 2015
April 12, 2011
by Bryan Salvage
JIAMUSI CITY, China – Sen Yu International Holdings Inc., a leading commercial hog breeder and supplier in the People's Republic of China, predicts strong demand for its commercial hogs based on rising projected domestic pork consumption and positive economic fundamentals.
According to the US Department of Agriculture, China is the world's top pork producer and consumer, accounting for 51.5 million metric tons of pork production in 2010, or 50% of total world production as well as half of global consumption. Pork has historically been the primary animal protein source in Chinese diets, and its consumption level tripled between 1980 and 2003.
Based on projections, per capita pork consumption in 2015 is estimated to be 107 lbs., according to a study from Purdue University. Using a predicted population figure of 1.40 billion, projected total Chinese pork demand for the year 2015 is estimated to be 68 million metric tons. This is a large increase from 2003, when pork consumption was 45 million metric tons, and a 32% increase from 2010 levels.
Chinese pork production has been increasing to satisfy the growing demand from Chinese consumers and rising domestic incomes, said Zhenyu (Jack) Shang, founder, chairman and CEO of Sen Yu International Holdings Inc. "Pork is the most popular meat in China, far ahead of beef, poultry and lamb,” he added. “The company believes rising demand and consumption is being driven by increasing urbanization and the rapid growth of the middle class. Based on China's economic expansion and government policies encouraging domestic pig production, we believe pork production and consumption will continue to rise, and help to fuel strong revenues and profits in our business.”
The company continues to refine its breeding techniques and expand production based on increases in orders for commercial hogs from its customers. “Sen Yu possesses three advantages we believe will allow us to capture more market share,” he said. “These include an efficient business model that allows us to maximize profits and significantly reduce operation costs, the superior quality of our Canadian breeding hogs and the production capacity to meet the strong demand that we see. Our goal is to firmly establish Sen Yu as the top producer and distributor of breeding and commercial hogs in China."