Chicken prices rebound sharply, farmers hold back stock and wait to see how the market develops

Today's chicken prices in Guangdong rose 19.3% compared with yesterday, with the average price up by 0.7 yuan/jin. Chicken prices have seen a retaliatory surge; since May, chicken prices in Guangdong have been climbing steadily, and some farming companies and small to medium-sized farmers have adopted a wait-and-see attitude, holding back stock for sale, while broiler transaction volume within Guangdong province decreased slightly compared with yesterday.

Prices of low-grade broilers rose 0.7-0.8 yuan/jin compared with yesterday, a relatively large increase. Today, the ex-farm price of dwarf yellow roosters was 3.5-3.6 yuan/jin, that of imitation native roosters was 3.8-4.0 yuan/jin, and that of fast-growing large yellow roosters was 3.3-3.5 yuan/jin.

Prices of medium and high-grade broilers rose 0.5-0.8 yuan/jin compared with yesterday. Today, the ex-farm price of dwarf yellow hens was 4.3-4.5 yuan/jin, that of imitation native hens was 5.1-5.6 yuan/jin, and that of Sanhuang native hens was 5.6-6.0 yuan/jin.

Silkie prices rose 1 yuan/jin compared with yesterday, the largest increase among all broiler varieties today. Today, the ex-farm price of silkie roosters was 3.8-4.1 yuan/jin, and that of silkie hens was 4.3-4.7 yuan/jin.

Because chicken prices have risen considerably, some wholesale customers are relatively cautious about restocking. However, broiler prices are still far below cost, and farming companies and farmers generally still face losses when selling their stock, so it cannot be ruled out that some farming companies may further push chicken prices higher in the period ahead.

Analysts believe farming companies can reasonably push broiler prices back onto a normal track, but should be careful to control the pace of price increases, so as to avoid erratic price movements that could affect customers' confidence in restocking.