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China issues multiple measures to ensure stable hog production

2019-09-10 www.cofeed.com
The joint notice released by National Development and Reform Commission and the Ministry of Agriculture and Rural Affairs on September 9 pointed out that China would implement subsidies for the construction of large-scale pig farms. The central government would within its budgetary investment provide one-time subsidies for the construction, reconstruction and expansion of breeding farms, large-scale pig farms, and large-scale pig farms (households) in the banned areas before the end of 2020. The ratio of the subsidies shall not exceed 30% of the total project investment with the minimum of RMB 500,000 and the maximum of RMB 5.0 million. 

Apart from such subsidies as money in hard cash, a package of measures have been rolled out to support hog production in China since August 31 by the Ministry of Agriculture and Rural Affairs with multiple other agencies including National Development and Reform Commission, Ministry of Finance, Ministry of Ecology and Environment, Ministry of Transport and China Banking and Insurance Regulatory Commission.

Insurance: Insurance coverage on hogs has been raised temporarily as well, with that for sows rising to 1,500 yuan from the former range of 1,000-1,200 yuan and that for finishing pigs growing to 800 yuan from 600 yuan.

Subsidy: Subsidies to farms with culled pigs due to the African swine fever will be dispensed every six months instead of annually, and the county and municipal government shall distribute subsidies within three months upon receiving financial funds from central and provincial government. 

Land: The land for hog breeding can be administrated as the land for agriculture and is not necessary to go through formalities of examination and approval. The land for hog breeding shall be under possible arrangement on the premise of not occupying permanent basic farmland and shall be allowed to use commonly cultivated land and does not have to consider the balance of cultivated land.

Transportation: Starting Sept. 1, 2019, the "green channel" policy for the transportation of fresh and live farm produce has been resumed for vehicles legally transporting piglets and chilled pork. From Sept. 1, 2019 to Jun. 30, 2020, toll fees for vehicles legally transporting breeding pigs and frozen pork will be waived. 

Equipment: Provincial government shall in principle involve into its subsidies the purchases of equipment items applicable to hog production which is within the range of all types of machinery and tools of national agricultural machinery purchase subsidies. 

(source: CCTV Financial Channel)