The Iran situation ignites feed costs. Under the backdrop of "re-inflation," regulatory authorities strongly intervene to curb the "involution" in pig enterprises. What does the accelerated liquidation of breeding sows' inventory mean?

SnapshotLaborer

2026-03-09 04:16:29

Abstract generation in progress

What happened? Cost pressures accelerate the clearing expectations

1. External Variables: The Butterfly Effect of Geopolitics

In early 2026, the ongoing and expanding situation in Iran became a black swan event for the agricultural products market. The surge in oil prices not only increased global logistics costs but also directly improved the economics of biodiesel. The logic of using crops like corn and soybeans as energy substitutes was reinforced, coupled with rising prices of fertilizers and other agricultural inputs driven by energy costs, raising overall planting costs worldwide.

Since the beginning of the year, DCE corn and DCE soybean meal have increased by 9% and 11%, respectively, accounting for over 80% of pig feed costs. Several feed companies have announced price hikes.

……

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.