Hog futures in China have fallen to record lows as mass slaughtering of pigs prompts fears that the world’s second-biggest economy faces a deluge of pork.
Rising concerns that the local market is becoming inundated with the meat have led to a more than 30 per cent fall in Dalian-traded hog futures, which allow investors to bet on the future direction of prices, since they were launched in January.
The situation contrasts with that in the world’s biggest producer, consumer and importer of pork over much of the last two years when outbreaks of African Swine Fever resulted in price surges due to fears of supply shortfalls.
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