Market Morsel: Mind the gap
Market Morsel
The United States Department of Agriculture (USDA) estimate the gap between Chinese pork production between the current season and where their pork industry production was before the outbreak of African Swine Fever (ASF) at around 13.5 million tonnes for 2021.
Comparing the situation in China pre-ASF and assessing how China has increased their domestic production of beef, sheep meat and chicken since the outbreak, there has been an increase of nearly 4.3 million tonnes of domestically produced meat protein.
In addition, China has increased its import regime of pork, beef, sheep meat and chicken to the tune of nearly 5.7 million tonnes. This leaves an estimated meat protein gap of around 3.5 million tonnes for the 2021 year. While this is a fraction of the gap they experienced in previous years it is still a void in their meat protein that is 35% larger than the combined annual Australian beef and sheep meat production expected in 2021.
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