Core Insights - The "insurance + futures" model effectively addresses challenges in the livestock industry, insurance sector, and futures market, creating a mutually beneficial ecosystem for all parties involved [3][4][5] Group 1: Industry Overview - The "insurance + futures" model provides a safety net for pig farmers by allowing them to purchase price insurance from insurance companies, which in turn hedge their risks through futures contracts [1][3] - The model has gained traction in the pig farming sector, with a notable increase in interest and participation from various types of farms, including self-breeding and fattening farms, as well as feed companies [4][5] Group 2: Market Dynamics - The demand for risk management tools has surged, particularly during the prolonged downturn in pig prices from 2022 to 2023, highlighting the necessity for stable pig inventories to ensure market prosperity [4] - The insurance premium burden is a significant concern for farmers, especially when production costs are around 6 to 7 yuan per kilogram, making the approximately 0.2 yuan per kilogram premium a financial strain [5] Group 3: Future Prospects - There is potential for expanding the "insurance + futures" model to include credit solutions and specialized insurance products to address specific risks, such as those posed by African swine fever [6]