SunSirs: Decreased Demand, China Egg Prices Fell in September

According to the monitoring of the Commodity Market Analysis System of SunSirs, the egg price in early September was 10.82 RMB/kg, and at the end of September, the egg price was 10.71 RMB/kg, a decrease of 1.02%, and a decrease of 4.46% compared to the same period last year.

The demand for double stocking has weakened, the risk control sentiment in the trade sector has increased, and although the inventory pressure is not significant, the replenishment sentiment has weakened, and the willingness to ship in the production sector has also increased. Especially with the accelerated pace of shipments of cold storage eggs, the overall demand has gradually weakened. In addition, feed prices continue to decline slightly, and the support for the bottom of chicken and egg prices has weakened.

The growth trend of newly opened egg laying hens remains unchanged, and the egg production rate is relatively low due to weather and other factors in the early stage. It will gradually improve in the near future. Under the current breeding profits, the market's enthusiasm for actively eliminating old chickens is not high, and the number of old chickens eliminated is relatively small. There will be a significant increase in egg supply in the fourth quarter. The demand for holiday stocking of eggs during the year has shown good performance, especially with the recent double holiday stocking exceeding expectations. However, the stocking has basically ended, and there are expectations of a decrease in egg prices in the future, until demand starts before next year's Spring Festival, which will boost spot prices.

Under the long-term growth trend of supply, the spot price of eggs is facing certain pressure, but due to the high cost of feed, there is also some support below. It is expected that the short-term trend of egg prices may be mainly fluctuating and weak.

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