On August 28th, 2020, Liu Yonghao, the chairman of New Hope Group (the largest local feed enterprise group in China), said in an interview during the Summer Summit of Yabuli Forum that due to the influence of African swine fever and other reasons, the number of live pigs is insufficient, and because of the eating habits of most people in China, it is unlikely that pork prices will fall back at the end of the year. But because people's farming is gradually increasing, the price will gradually stabilize by the middle of next year. In response to Liu Yonghao's remarks, netizens started a discussion. I agree with Liu Yonghao's remarks for the following reasons.

1. The increase in pork prices in China this year is due to the discovery of African swine fever in other areas after a suspected African swine fever epidemic occurred in Wuwu Community, Shenbei Road, Shenbei New District, Shenyang in August 20 18, and the discovery of pigs that died of African swine fever in some areas from 18 to June 2000. In order to stop the spread of swine flu, China culled100000 pigs, which led to the continuous decline of pork production in China, and it was necessary to increase pork imports from other countries. China bought 24,000 tons of American pork. In the past two years, China has effectively controlled the epidemic situation of African swine fever and stored a large amount of pork.

The second reason: China encourages individuals to raise healthy pigs, subsidizes large-scale pig farms, restores the confidence of some pig farmers, and now the profit of raising pigs is very high (each pig has a profit of more than 2,000 yuan), and people begin to breed in large quantities, which greatly increases the output of pork.

Reason 3: Not only individuals began to raise pigs, but also many capital giants began to breed and breed on a large scale. According to media reports, in July this year, 16 enterprise raised 50 billion yuan to invest in the construction of pig farms (a highly standardized pig farm construction method), and the construction of such farms was approved by the state, and a lot of financial support was given (supporting funds were more than 3 million yuan).

Reason 4: There is a large demand for pork now because local canteens such as schools, factories and institutions need to purchase pork, and the catering industry is gradually recovering. For most ordinary people, they are gradually buying less pork and choosing to buy other meat products.

Therefore, based on the above analysis, I agree with the remarks made by Liu Yonghao, Chairman of New Hope Group, during the Summer Summit of Yabuli Forum.