Agriculture Industry: Outshine others (+ 24.6%)
2019 is a prosperous year for agricultural products, with high grain yields and yields reaching new highs. "Flying Pigs", "Rocket Eggs", and "Crazy Grease" have become the keywords of 2019. The booming market is "outstanding in the eight major commodities industries."
2019 Agricultural and Sideline Index List
According to data from SunSirs, there are 9 commodities in the agricultural and sideline sectors that have risen or fallen in the commodity price list in 2019. Among them, there are 5 commodities that have increased by more than 5%, accounting for 38.5% of the monitored commodities in this sector.
The top 3 the products were live pigs (196.90%), palm oil (56.99%), and soybean oil (36.11%). There were a total of 4 kinds of goods that fell month-on-month, and 3 kinds of goods with a decline of more than 5%, accounting for 23.1% of the number of goods monitored in this sector. The top 3 products were eggs (-7.33%) and corn starch (-6.05%), Wheat (-5.98%). The average increase or decrease this year was 24.6%.
Key Ups and Downs: Live Pigs, Vegetable Oil, Eggs and Soybean Meal
Live Pigs (+ 196.90%): Pig prices will reach record highs in 2019. Affected by the African swine fever epidemic in 2018, the profit of the breeding industry has shrunk, and the number of live pigs has plummeted.
By 2019, farmers ’enthusiasm for breeding is low, and the domestic hog inventory is still declining. The domestic hog market is becoming tighter, and the slaughterhouse procurement difficulty is increasing.
In order to ensure the market supply, the purchase price continues to rise, the pork price has skyrocketed, and the highest price has exceeded 80 RMB / kg. And the pig price has increased by more than 247% in the first ten month of 2019, which is a record high. Since November, pork prices have fallen somewhat, and pork prices have continued to decline after landing. At the end of the year, pork prices remained high, with an average price exceeding 60 RMB / kg, still up 196.9% from the beginning of the year.
Vegetable Oil: The vegetable oil sector has performed well in agricultural products in 2019. Driven by palm oil, soybean oil and rapeseed oil have ushered in a surge. In 2019, grease completely got rid of the two consecutive years of slump, bottomed out, and rebounded to the 2016 rally.
In the fourth quarter, Malaysia’s palm oil production declined, supported by biodiesel policy, palm oil did not calm down and rose wildly. Prices rose by more than 2,000 RMB per ton, an increase of more than 50%. The rise of palm oil led to the overall rise of the vegetable oil sector, and the oil was completely crazy. Soybean oil and rapeseed oil rose by about 30%.
Eggs: In 2019, while pigs are rising wildly, eggs are not calm. Under the leadership of "Flying Pigs", "Rocket Eggs" are following in their footsteps. The highest increase of eggs is over 50%, and the highest price exceeds the 6 RMB mark. After the scenery, the eggs also quickly fell in the period of pig price correction. In 2019, eggs as a whole are more tossing than in 2018. The main scenery is attributed to live pigs. The downturn is still determined by their own needs. Looking at the rise and fall throughout the year, egg prices fell by 7.33%.
Soybean Meal: Soybean Meal and Soybean Oil in 2019 have two days of fire and ice. As the two downstream products of soybeans, the prices of soybean meal and soybean oil are completely opposite. Compared with the hot market of soybean oil, soybean meal has entered a cold winter. In 2019, soybean oil prices rose 32.24% throughout the year, soybean meal performance was sluggish, ups and downs, and annual prices rose 0.17%.
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