Investment Rating - The industry rating is "Outperform the Market" [4][72]. Core Viewpoints - In June, the total number of pigs slaughtered by 16 listed companies reached 16.6133 million heads, a month-on-month increase of 1.62% and a year-on-year increase of 46.64% [10][11]. - The average weight of pigs slaughtered in June was 128.60 kg, down by 0.90 kg month-on-month [17]. - The average selling price of pigs in June was 14.30 CNY/kg, a decrease of 2.28% month-on-month [17]. - The market for piglets saw a decline in sales, with a price of 439.29 CNY/head, down 4.21% month-on-month [11][31]. - The poultry sector is experiencing a rebound in white chicken prices, with a current price of 6.24 CNY/kg, although it is still down 0.51 CNY/kg week-on-week [37]. - The soybean meal market is under pressure, with a current price of 2924 CNY/ton, down 4 CNY/ton week-on-week [54]. Summary by Sections Pig Farming - June saw an increase in the number of pigs slaughtered, with significant growth from companies like Zhenghong Technology (+215.48%) and Jin Xin Nong (+38.35%) [10][11]. - The average weight of pigs slaughtered decreased, with listed companies averaging 122.72 kg, down 1.97 kg month-on-month [17]. - The average selling price of pigs decreased, with major companies like Muyuan and Wens selling at 14.08 CNY/kg and 14.39 CNY/kg respectively, both showing a decline [17]. Poultry Sector - White chicken prices are rebounding, with a notable increase in chick prices, as seen with Yisheng's chick price rising to 2.0 CNY/bird [37][41]. - The egg-laying hen market is facing challenges due to increased difficulties in importing chicks, maintaining high prices for quality chicks [41]. Agricultural Products - The soybean meal market is experiencing fluctuations, with current prices reflecting a slight decrease in the spot market but a stable futures market [54]. - The USDA's report indicates a projected decrease in U.S. soybean planting area, which may affect future supply dynamics [54].

Core Viewpoint - The Supreme People's Court ruled in favor of Heng Company in a plant variety rights infringement case against Jin Company, ordering Jin Company to cease infringement and pay a total of 53.547 million yuan in damages, marking a significant precedent in China's plant variety rights protection [1][3][5]. Group 1: Case Details - The case involved the corn variety "NP01154," owned by Limagrain Europe, which authorized Heng Company to exclusively produce and operate it in China [2]. - Heng Company claimed that Jin Company used "NP01154" as a parent to produce seven unauthorized hybrid corn varieties, seeking punitive damages of 160 million yuan and reasonable legal expenses of 200,000 yuan [2]. - The first-instance court ruled in favor of Jin Company, citing a report that claimed the varieties were different, which Heng Company contested in the appeal [2][3]. Group 2: Judicial Findings - The Supreme Court found insufficient evidence to support Jin Company's claims regarding the differences between the varieties, determining that the evidence presented by Heng Company proved the infringement [3][4]. - The court highlighted that Jin Company's infringement lasted five years, covering an area of 8,243.4 acres, and deemed the infringement serious, leading to the imposition of punitive damages [3][5]. Group 3: Implications for Intellectual Property Protection - The ruling emphasizes the importance of strengthening intellectual property rights protection in the seed industry, which is crucial for agricultural development and food security [7]. - The case reflects the increasing judicial response to the demand for plant variety rights protection, with a significant rise in related cases filed since the establishment of the Intellectual Property Court [7][8]. - The court's approach in this case sets a precedent for future disputes, particularly regarding the use of molecular markers in determining variety identity and the conditions for expanding testing points [5][6]. Group 4: Industry Impact - The ruling is seen as a victory for the seed industry, encouraging companies to invest in research and development, and reinforcing the equal protection of intellectual property rights for both domestic and foreign entities [6][7]. - The Supreme Court's actions contribute to establishing a robust legal framework for intellectual property rights, enhancing China's reputation as a responsible protector of such rights on the global stage [6][8].

Group 1 - Agricultural stocks are performing well, with the seed industry concept leading the gains, as the sector index surged over 13% shortly after opening [4][5] - All stocks within the agricultural sector experienced significant increases, with Qiu Le Seed Industry hitting a 30% limit up and Shen Nong Seed Industry reaching a 20% limit up [5] - The Supreme People's Court has released typical cases for the judicial protection of seed industry intellectual property rights, enhancing protection and providing clearer guidelines for industry participants [7] Group 2 - The chicken concept stocks rebounded, with the sector index rising over 3%, and Xiao Ming Co. hitting a 20% limit up, marking a three-year high [8] - The price of white feather chicken has rebounded by approximately 40% compared to extreme low prices seen a month and a half ago, with current prices around 3.5 yuan per jin [10] - Analysts expect a reduction in poultry imports, which will benefit domestic white feather chicken enterprises, while increased tariffs will raise breeding costs, positively impacting market share and profit margins for related companies [10]