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Future pig price or long-term grinding bottom cost advantage is the core competitiveness.

Release time:

2021-11-17


Future pig price or long-term grinding bottom cost advantage is the core competitiveness.

 

 

Based on supply and demand fundamentals, the industry believes that the inflection point of the pig cycle may appear at the end of the second quarter of next year, but if the production capacity is not as expected, the next six months or even a year of the pig cycle will be hovering at the bottom.

Although it may not be realized, many pig enterprises have made plans to grind the bottom of pig prices for a long time, and have always believed that if pig prices in the future will still hover at the bottom for a long time, reducing costs and increasing efficiency is the primary task facing the industry at present.

And this wave of hovering at the bottom of the market is indeed an opportunity for pig companies to grow wildly.

First of all, the head enterprises by reducing costs, improve efficiency, superimposed on the strong capital resistance, is expected to obtain a phase of excess profits in the downward cycle, increase the thickness of capital accumulation. Secondly, the long-term suffering of the grinding bottom market will lead to some small and medium-sized farmers due to serious losses, capital chain break and accelerate the delisting, and pig enterprises are expected to take advantage of the situation to replenish capacity vacancies, further enhance market share.

Yes, no matter in the past, present or in the future, let's not talk about intelligent and high-tech pig raising. What is certain is that the cost control ability of * * will be the core competitiveness of pig breeding enterprises, helping enterprises to cross the downward cycle, and at the same time, they can also stand out among the breeding subjects and stand on the top of the tower.