英语相关论文PROFILES OF THE CHINESE PIG INDUSTRY.doc

profiles of the chinese pig industry nomatterwhomyouask,theanswerwillbethesame:chinaistheno.1porkproducerandconsumeronthisplanet.intheyearof2000,527millionheadsofpigswereslaughtered,andnearly50%ofallporkintheworldisnowproducedinchina(nbsc,fao,usda,2002).1.3billionconsumersseemtopreferporkoveranyothermeatsintheirmeals-essentiallyallporkproducedinthecountryisconsumeddomestically. dependingonwhomyouask,youwillatleasthavesomedifferentanswersabouttheprofilesofthechinesepigindustry.in1999,asurveyconductedbynbsc(nationalbureauofstatisticsofchina)revealedthathouseholdsinruralchinaraisedanaverageof1.48pigs(nbsc,2000).onepersonof8intheworldisachinesefarmer.anotherfrequentlyquotedstatisticisthatabout80percentofallchinesepigsareproducedinthebackyardsoffarmershomes.recentreportspreparedin2002byhogindustryassociationsinzhejiang,shanghai,beijing,andguangdongprovincesproposedthat40to50percentofthehogswereproducedonscalefarmsinthoseprovinces.,itisdifficulttopreciselydefineascalefarmandvalidatethereportswithoutmorereliabledata.whatarethecorrectnumberstodescribetheprofiles?therealitymaybesimple:therehasbeennosoundandcomprehensiveinvestigation/surveyaccomplishedsofarinordertoaccuratelyprofiletheindustry. increasingmarketopennessinferredbychinasaccessiontotheworldtradeorganization,continuedincomegrowth,andtheshiftoffoodconsumptionpatternstowardsmoremeathaveattractedmoreandmoreattentionsfromtherestofworldonchineseporkindustry. thisreportattemptstodepictthepigindustryinchinabyexploringtheproductioncostsandmajorconstraintsofseveralswineproducers.keyfactorsandissueswillaccordinglybestressedtoillustratewhatdifferentiatesthechinesepigindustryfromothercountriesandwhatdirectiontheindustryisheadinginforthefuture. case1:ms.yan-strugglingbackyardproducers ms.yanis64yearsoldandhasbeenraisingtwopigsforthelast40yearsexceptforseveralextremeyearsinearly1960smanypeoplediedoffamine.sheandherhusbandre-builttheirhouseinruralshandongprovincesatleastsixtimesinthelast40years. inthoseverydifficultyearsamidtheculturalrevolution,3or4pigsayearcouldaddasignificantpartoffamilyrevenue.foodgrain(mainlywheat)wasneverenoughforfouryoungchildrenintheearlyyears.sellingapigtwoorthreetimesayearallowedforthepurchasesofotherfoodsinreturn. table1.operationdescriptionofms.yans2-pigfarm. itemsnote 1.feederpigs-boughtfromlocalbazaarsatabout15to23kgandabout$0.85/kg2-or3-waycrossbred.paycanbedeferredasshort-termdebt. 2.feed-onlyabout10%ofthefeedisgrain,proteinmeals,andpremixes;othersarefoodresidueswithnocost.onlyfeedlittlegrainatearlyandlatestage. 3.daystomarket-about200daysfrom20kgto65kg. 4.marketpigs-soldtodealersoronlocalbazaars.liveweightpricevariesfrom$0.65to$0.80/kgin2002. 5.manure-storedinaopenpitforfieldapplicationconsideredtohavevalue 6.labor&vets-timeusedforbuyingandsellingpigsandcleaning;vetsanddrugscostabout$10perpig.noopportunitycostforlaborincluded ttable2.consolidatedbalancesheetofms.yans2-pigoperation, june30,2002 itemsamount,usditemsamount,usd assetsliability current cashforfeedandvets42shorttermdebtforfeederpigs19 4%premixandotherfeedinstore9taxespayable4 fixed pigshed,trough,andtools133 pigs77 totalequity238 table3.estimatedconsolidatedincomestatementofms.yan2-pigoperation,december31,2002 itemsamount,usdnote revenues pigssold141.53pigssoldayear manurecollectedforfertilizeruse29opportunitycost expenses buyfeederpigs21.5 grainandproteinmeals13.88%offeed premixes2.85kgtotal labor65normallynotincluded vetsanddrugs7.3 others6.5 depreciation2.7 netincomebeforetaxes&nb3 sp;50.9 netincome48.93-5%taxesandfees netincomeperpig16.3 advantagestobeabackyardproducer enterorwithdrawbusinessto/frompigindustryatessentiallynocost. productionflowistotallyadjustabledependingonmarketprice. twoorthreepigssoldperyearusedtoaccountfor30to40percentcashincomeforherfamilybutnowmaybedowntoonly10percent. disadvantagesandconstraints noleveragepoweroninputsandproductsprices. diseasescancauseseriousproblemsandlosses. moredifficulttofindmarketandsellpigsduetohighercostoftransportation,thususuallyreceivelowerprices. alwaysbeingalowestpricereceivernomatterhowmuchyouimprovedgenetics. younggenerationconsiderodoraproblemandneighborscomplaintsofodor.decreasedinterestsinpigproductionbyyoungergeneration.actually,backyardpigproductionisdisappearinginareasaroundbigcities. opportunitycostoflaborhasbeennotedandbeginstoincrease. emergingissues industrialization,continuousreform,andopeningtotheoutsideworldarebringingaboutmanychangesinthechinesepigindustry.observersandresearchersinterestedinthechinesepigindustryarestudyingtheissuescurrentlyemerginginthecountryinordertosketchtheoutlookforchineseindustry. concernedaboutpotentialproblemscausedbyreductionsinruralincomes,thechinesegovernment,withalonghistoryofplannedeconomy,willprobablycontinuetoprovidevarioussupportstothehouseholdsinagriculturalareas.pigproductionisoneofthesectorschosenbythegovernmenttohelpraisefarmincomes.thetrendtowardshouseholdspecializationandexpandingfarmsizeswillcontinueinthehopeofincreasingproductionefficiency. althoughthepacetowardsprivatizingstate-ownedswinefarmsisnotfastenoughtomeettheindustryexpectation,theresolveofthegovernmenttodropthelong-sufferedburdenofpoor-managedfarmsisevident.inguangdong,localgovernmentshavealreadyliquidatedmanyswinefarms,facilitatingpurchasebyfarmmanagersandtechniciansatveryreasonableprices.onepopularmodelistoletthemanagersownupto40%ofnetassets/equityandotherworkerscanbuytherest.afterthereformthestatemayormaynotretainsharesinthebusiness.managersnormallyhavetopaycashoramortizetheinitialcostofthetransaction.managersare.theyareevenallowedtobuyoutthefarmusingthefutureearningsinsomeareas.inaddition,thevalueofapigfarmwillbeassessedwellbelowtherealvalueinordertomakeitaffordableformanagers.newlycreatedprivateswinefarmscanbeverycompetitiveduetothelowfixedcostsandtotalassets,atleastinashortterm. inadditiontoanimmaturemarketeconomy,poorinfrastructureandlogisticstohandleliveanimalandchilledporklogisticswillremainamajorconstraintforalongtime.otheraspectslikeproductionefficiencyarealsomajorconstraintsformanychineseswinefarmerstoovercome.thisisnotlimitedtotechnicalskills.perhapsmoreimportantisthelackofbasicmanagementskillsneededtoaddeconomicvaluetoaswineoperation. chineseconsumerslookingforqualityandflavorseemwillingtopayhigherpricesforpork.pioneeringcompanieshavereportedsuccessinvalue-addedproductswhentheytrytoemphasizeporkqualitybycrossbreedingleanpigswithlocalchinesebreeds.severalfoodproducershavealreadyopenedspecializedstoresorsupermarketcounters