Investment Rating - The report maintains an investment rating of "Buy-A" for Haida Group, "Buy-B" for Shennong Development and Wens Foodstuffs, and "Hold-A" for Guai Bao Pet and Zhongchong Shares [8]. Core Insights - The report highlights the return of capacity reduction logic in the breeding sector, suggesting that the pig farming industry may face pressure in the first half of the year, but this period could also serve as a favorable window for capacity reduction [2][4]. - The report indicates that the overall pig price has decreased, leading to an expansion of losses in pig farming profits. As of March 13, the average price of external three yuan pigs in Sichuan, Guangdong, and Henan was 10.25, 10.96, and 10.13 yuan/kg, respectively, with an average pork price of 16.17 yuan/kg, down 4.99% from the previous week [3][24]. - The feed industry is experiencing a shift from product competition to value chain competition, with market share concentrating among leading companies with advantages in research and development, scale, and service [3]. Summary by Sections 1. Market Performance - During the week of March 9 to March 15, the Shanghai and Shenzhen 300 Index rose by 0.19%, while the agriculture sector increased by 1.01%, ranking sixth among sectors. The top-performing sub-industries included grain and oil processing, food and feed additives, and pig farming [2][15]. 2. Pig Farming - The report notes a significant decline in pig farming profits, with self-breeding losses reaching -283.15 yuan per head, a decrease of approximately 45.17 yuan from the previous week. The profit from purchasing piglets was -118.18 yuan per head, down about 59.29 yuan [3][24]. 3. Poultry Farming - The price of white feather chickens has slightly rebounded, with a weekly price of 7.21 yuan/kg, while the profit from raising meat chickens has decreased to 0.11 yuan per chicken, down 38.89% from the previous week [44]. 4. Feed Processing - The average price of feed for fattening pigs has increased to 3.38 yuan/kg, while the average price for chicken feed is 3.55 yuan/kg, both showing a week-on-week increase [49]. 5. Aquaculture - The report states that the price of sea cucumbers remains stable at 110 yuan/kg, while the price of shrimp is 280 yuan/kg. Freshwater fish prices, such as grass carp and crucian carp, have seen slight declines [56]. 6. Planting and Grain Processing - The report indicates a notable increase in grain prices, with corn at 2446.86 yuan/ton (+1.20%), soybeans at 4277.37 yuan/ton (+5.04%), and wheat at 2577.61 yuan/ton (+1.40%) [65].

Investment Rating - The industry is rated as "Outperforming the Market" with a target of exceeding the performance of the CSI 300 index by 10% or more over the next six months [3]. Core Insights - The report highlights that the pig farming sector is experiencing a backlog of breeding sows due to the Spring Festival, which is affecting the breeding stock. There is a potential for increased capacity regulation policies [19][20]. - The average price of live pigs this week is 10.56 CNY/kg, reflecting a week-on-week decrease of 3.39% and a two-week decrease of 5.24%. The average price of piglets is 448 CNY/head, down 3.24% week-on-week [19][24]. - The poultry sector is facing a downward trend in white feather broiler prices, with the average price at 7.20 CNY/kg, a decrease of 3.61% week-on-week [24]. - The corn market shows stability with a slight increase in prices, averaging 2405.53 CNY/ton, up 1.09% week-on-week, influenced by geopolitical tensions affecting oil prices and ethanol demand [32]. Summary by Sections 1. Weekly Market Review - The agricultural sector increased by 2.12% this week, outperforming major indices such as the CSI 300, which decreased by 1.07% [11]. - Sub-sectors like planting and breeding have shown positive growth, while agricultural processing, fishery, and animal health sectors experienced slight declines [14]. 2. Industry Data Tracking 2.1 Pig Farming - The average daily slaughter volume of pigs is 152,700 heads, with a week-on-week change of 26.05% [19]. - The breeding sow stock is expected to be adjusted down to 36.5 million heads, a reduction of 3.11 million heads, which will help to eliminate excess capacity in the industry [20]. 2.2 Poultry Farming - The market for white feather broilers is weak, with prices fluctuating and overall market confidence low due to slow sales and high inventory levels [24]. 2.3 Planting Sector - The prices of planting products remain stable, with corn prices showing a slight increase due to supply concerns and rising international oil prices [32]. 2.4 Aquaculture Sector - Prices for various aquatic products remain stable, with specific declines noted in shrimp prices, which decreased by 6.67% [37]. 3. Industry Events - A meeting was held with several pig farming companies to discuss the implementation of production capacity control targets for 2025 [49].

Investment Rating - The industry investment rating is "Leading the Market - A" [6] Core Viewpoints - The report indicates that the pork price is expected to fluctuate weakly in the short term due to weak post-holiday consumption and sufficient supply [21][22] - The poultry market is experiencing fluctuations, with an increase in slaughter capacity post-holiday, while the white feather broiler market is in a downward trend [36] - The aquaculture sector shows stable prices for various fish species, but a decline in shrimp prices [43] Summary by Sections 1. Weekly Market Review - The agricultural sector increased by 4.01% during the latest trading week, outperforming the Shanghai and Shenzhen indices [14] - The fishery sector saw a slight decline, while other sub-sectors such as planting, feed, and livestock showed increases [17] 2. Industry Data Tracking 2.1. Swine Farming - The average price of live pigs is 10.93 CNY/kg, down 7.06% week-on-week and 5.73% over two weeks [20] - The average daily slaughter volume is 137,600 pigs, a decrease of 45.81% week-on-week [21] 2.2. Poultry Farming - The average price of white feather broilers is 7.47 CNY/kg, down 0.13% week-on-week [36] - The price of broiler chicks is 2.87 CNY/chick, up 2.40% week-on-week [36] 2.3. Planting Sector - The average price of corn is 2381.80 CNY/ton, up 0.46% week-on-week [39] - The average price of domestic wheat is 2532.59 CNY/ton, up 0.07% week-on-week [39] 2.4. Aquaculture Sector - The average price of carp is 20.00 CNY/kg, stable week-on-week, with a year-on-year increase of 11.11% [43] - The average price of shrimp is 300.00 CNY/kg, down 6.25% week-on-week [43]

Investment Rating - The investment rating for the agriculture, forestry, animal husbandry, and fishery industry is "Positive" (maintained) [1] Core Insights - The industry is expected to face a soft supply situation throughout 2026, driven by factors such as weight recovery, a decline in breeding sentiment, and production efficiency improvements [3][4][21] - As of February 27, 2026, the average price of live pigs nationwide is 10.84 CNY/kg, reflecting a week-on-week decrease of 0.82 CNY/kg, indicating a weakening market post-holiday [3][13] - The average weight of pigs for both groups and individual farmers has increased post-holiday, with group weights rising to 125.19 kg (up 2.57 kg) and individual weights to 140.65 kg (up 0.98 kg) [3][13] Summary by Sections Weekly Observation - The industry is observing a decline in breeding sentiment since the last week before the Spring Festival, with breeding stock utilization rates dropping to 19.5% as of February 10, 2026, down 10.8 percentage points from January 30, 2026 [4][15] - The supply of breeding sows is showing a marginal increase, with a total of 1.1505 million sows reported in January 2026, up 0.65% month-on-month [21] Market Performance - From February 23 to February 27, 2026, the agricultural sector outperformed the market by 2.03 percentage points, with the agricultural index rising by 4.01% compared to a 1.98% increase in the Shanghai Composite Index [6][26] - Leading stocks include Yasheng Group (+17.46%), New Sai Co. (+12.79%), and Zhongxing Fungi (+12.29%) [6][34] Price Tracking - As of February 27, 2026, the average price of live pigs is 10.87 CNY/kg, down 7.33% from the previous week, while the average price of piglets is 25.42 CNY/kg, down 0.31% [37][38] - The feed-to-pork price ratio stands at 3.25:1, with self-breeding profits at -159.65 CNY per head, a decrease of 61.33% week-on-week [37][38] Key News - The 2026 version of the national standard for pesticide residue limits in food will officially take effect on March 1, 2026, aimed at enhancing food safety regulations [5][36]

Investment Rating - The industry investment rating is "Positive" (maintained) [1] Core Insights - The report indicates that the overall supply in the pig farming sector is expected to be loose throughout 2026, driven by factors such as weight recovery and a decline in breeding sentiment post-holiday [3][4][21] - As of February 27, 2026, the average price of live pigs nationwide is 10.84 CNY/kg, reflecting a week-on-week decrease of 0.82 CNY/kg [3][13] - The report highlights the importance of monitoring three key areas: weight, breeding, and frozen products, as they will significantly influence market dynamics [3] Summary by Sections Weekly Observation - The report notes a rebound in average slaughter weights for both group and individual farmers post-holiday, with group weights reaching 125.19 kg (up 2.57 kg week-on-week) and individual weights at 140.65 kg (up 0.98 kg) [3][13] - The breeding sentiment has notably declined since the last week before the Spring Festival, with breeding stock utilization rates dropping to 19.5% as of February 10, 2026, down 10.8 percentage points from January 30, 2026 [4][15] Market Performance - From February 23 to 27, 2026, the agricultural sector outperformed the market by 2.03 percentage points, with the agricultural index rising by 4.01% compared to a 1.98% increase in the Shanghai Composite Index [6][26] - Key stocks leading the gains include Yasheng Group (+17.46%), New Sai Co. (+12.79%), and Zhongxing Mushroom Industry (+12.29%) [6][34] Price Tracking - As of February 27, 2026, the average price of live pigs is 10.87 CNY/kg, down 0.86 CNY/kg from the previous week, while the average price of piglets is 25.42 CNY/kg, also down 0.08 CNY/kg [7][37] - The report indicates that the feed-to-pig price ratio is 3.25:1, with self-breeding profits at -159.65 CNY per head, a decrease of 61.33 CNY per head week-on-week [7][39] Key News - The 2026 version of the national standard for pesticide residue limits in food safety will officially take effect on March 1, 2026, which aims to enhance the quality and safety of agricultural products [5][36]

Core Viewpoint - The report provides a detailed analysis of retail prices for various food items, highlighting both month-on-month and year-on-year changes in prices, indicating trends in the food market. Group 1: Grain Prices - Rice is priced at 6.50 yuan/kg, showing no change month-on-month and a decrease of 1.1% year-on-year [1] - Flour is priced at 6.09 yuan/kg, with a slight decrease of 0.2% month-on-month and a decrease of 2.4% year-on-year [1] Group 2: Cooking Oil Prices - Soybean oil is priced at 12.78 yuan/kg, with a minor decrease of 0.1% month-on-month and a decrease of 1.5% year-on-year [1] - Peanut oil is priced at 28.71 yuan/kg, showing a slight increase of 0.1% month-on-month and no change year-on-year [1] - Canola oil is priced at 16.72 yuan/kg, with a decrease of 0.1% month-on-month and a decrease of 1.4% year-on-year [1] - Blended oil is priced at 15.56 yuan/kg, remaining unchanged month-on-month and showing a decrease of 0.8% year-on-year [1] Group 3: Meat Prices - Pork (hind leg) is priced at 26.76 yuan/kg, with a slight increase of 0.2% month-on-month and a significant decrease of 9.7% year-on-year [1] - White strip chicken is priced at 24.86 yuan/kg, remaining unchanged month-on-month and showing a decrease of 1.3% year-on-year [1] Group 4: Egg Prices - Fresh eggs are priced at 10.69 yuan/kg, with a decrease of 0.3% month-on-month and a decrease of 1.7% year-on-year [1] Group 5: Aquatic Product Prices - Carp is priced at 22.53 yuan/kg, with an increase of 1.6% month-on-month and an increase of 4.4% year-on-year [1] - Silver carp is priced at 22.43 yuan/kg, with a slight increase of 0.2% month-on-month and an increase of 2.1% year-on-year [1] - Grass carp is priced at 23.95 yuan/kg, with an increase of 0.6% month-on-month and an increase of 11.3% year-on-year [1] - Crucian carp is priced at 30.01 yuan/kg, with a slight increase of 0.1% month-on-month and an increase of 4.8% year-on-year [1] - Large hairtail is priced at 48.41 yuan/kg, with a minor decrease of 0.1% month-on-month and an increase of 0.6% year-on-year [1] - Large yellow croaker is priced at 55.96 yuan/kg, with a minor decrease of 0.1% month-on-month and an increase of 10.0% year-on-year [1] Group 6: Vegetable Prices - The average price of vegetables is 8.58 yuan/kg, with an increase of 1.1% month-on-month and an increase of 11.3% year-on-year [1] - The top five vegetables with the highest month-on-month price increases include yam (13.40 yuan/kg, +4.0%), asparagus lettuce (7.63 yuan/kg, +3.7%), cucumber (9.89 yuan/kg, +3.7%), Chinese cabbage (3.55 yuan/kg, +2.3%), and celery (7.19 yuan/kg, +2.1%) [1] - The top five vegetables with the largest month-on-month price decreases include bitter melon (12.76 yuan/kg, -0.7%), tomato (9.45 yuan/kg, -0.6%), eggplant (8.73 yuan/kg, -0.5%), chili (13.24 yuan/kg, -0.3%), and ginger (14.74 yuan/kg, -0.2%) [1]

Investment Rating - The industry investment rating is "Positive" (maintained) [1] Core Insights - The report highlights that the market is experiencing downward pressure on pig prices due to the end of pre-holiday stocking and limited weight reduction, alongside ongoing pressure from large pigs [3][4] - The average price of live pigs as of February 13, 2026, is 11.66 CNY/kg, reflecting a week-on-week decrease of 0.40 CNY/kg [3][4] - The report anticipates a seasonal decline in demand in the first 1-2 weeks post-holiday, compounded by insufficient weight reduction and potential concentrated supply release, leading to significant downward pressure on the spot market [4][22] Weekly Market Performance - From February 9 to February 13, the agricultural sector underperformed the market by 2.51 percentage points, with the Shanghai Composite Index rising by 0.41% while the agricultural index fell by 2.10% [6][26] - The fishery sector led the gains among sub-sectors, with notable stock performances from companies like Yuegui Co. (+24.22%), Xuelong Bio (+11.98%), and *ST Jiawo (+9.07%) [6][26] Price Tracking - As of February 13, 2026, the average price of live pigs is 11.73 CNY/kg, down 0.41 CNY/kg from the previous week; the average price of piglets is 25.50 CNY/kg, down 0.04 CNY/kg [7][39] - The average price of white strips has decreased to 16.45 CNY/kg, down 0.21 CNY/kg week-on-week [39] - The average price of beef has increased to 66.26 CNY/kg, reflecting a week-on-week rise of 0.26% [47] - The price of grass carp has risen to 17.17 CNY/kg, up 1.06% week-on-week [49] Key News - From 2026 to the end of 2030, three departments will exempt import value-added tax on imported seeds and sources to enhance agricultural quality and competitiveness [5][36] - In 2025, China's agricultural insurance premium income reached 155.55 billion CNY, providing risk protection of 5.3 trillion CNY [5][36] - The central government has allocated 1.25 billion CNY to support winter wheat growth initiatives [5][36]

Core Insights - The supply of essential food items in Jiangsu province is sufficient and prices are generally stable as the Spring Festival approaches, with a monitoring report indicating that out of 97 key food items, 54 saw price increases, 5 remained stable, and 38 experienced price declines [1] Group 1: Grain and Oil Prices - The prices of staple grains and oils remain stable, with specific prices for Northeast grade japonica rice, Northern Jiangsu grade japonica rice, and premium flour averaging 3.22 yuan, 2.69 yuan, and 2.96 yuan per 500 grams, showing a decrease of 0.3%, stable, and stable respectively [2] - The prices for 5L containers of first-grade rapeseed oil, peanut oil, and soybean oil are 81.71 yuan, 142.19 yuan, and 60.64 yuan, reflecting decreases of 1.0%, 0.6%, and 0.1% respectively [2] Group 2: Meat and Egg Prices - Prices for major meat products have seen slight increases due to pre-festival stocking demands, with lean pork and boneless hind leg pork priced at 14.54 yuan and 12.58 yuan, rising by 3.0% and 3.4% respectively [3] - Fresh bone-in lamb and beef shank prices are at 35.22 yuan and 46.25 yuan, increasing by 2.5% and 0.9%, marking a new high for the past year [3] - The price of whole chickens is 10.78 yuan, up by 0.5%, while egg prices have surged by 13.9% to 4.60 yuan [3] Group 3: Aquatic Products - Prices for freshwater fish show mixed trends, with grass carp and crucian carp priced at 9.89 yuan and 12.60 yuan, increasing by 5.1% and 4.4% respectively [4] - Conversely, prices for white catfish and flower catfish are 4.87 yuan and 9.70 yuan, decreasing by 1.2% and 0.7% [4] Group 4: Vegetable Prices - Vegetable prices are generally stable, with a total of 32 monitored vegetables showing 16 price increases and 16 decreases, maintaining an average retail price of 4.96 yuan [5] - Notable price increases include thin-skinned green peppers, winter melons, and Chinese cabbages, which rose by 9.9%, 9.2%, and 8.0% respectively, with winter melons reaching a three-year high [5] - Conversely, cauliflower, broccoli, and celery saw price declines of 16.4%, 7.2%, and 7.0% respectively [5] Group 5: Fruit Prices - Fruit prices are predominantly on the rise, with 4 out of 5 monitored fruits increasing in price, leading to an average retail price of 4.78 yuan, up by 1.5% [6] - Specific prices for bananas and navel oranges are 4.03 yuan and 4.98 yuan, reflecting increases of 8.3% and a decrease of 5.0% respectively [6]

Core Viewpoint - The demand for fish, particularly bluefish and grass carp, has surged ahead of the Chinese New Year, leading to increased sales and stable prices in the Suzhou market [1][3]. Group 1: Fish Market Dynamics - Suzhou residents are preparing for the New Year by purchasing traditional dishes, with bluefish and grass carp being essential for the festive meal, symbolizing abundance [1]. - The sales of bluefish have significantly increased, with daily sales reportedly doubling in the weeks leading up to the holiday, and the supply of fish exceeding 280 tons daily, marking a nearly 50% increase week-on-week [1][3]. - The wholesale prices for bluefish range from 8 to 8.5 yuan per kilogram, while grass carp prices are between 8.5 and 9 yuan per kilogram, indicating a stable market despite increased demand [3]. Group 2: Vegetable Supply and Demand - The market has ensured a steady supply of essential vegetables for the New Year, with daily deliveries exceeding 3,000 tons, including local and imported varieties [3][5]. - The market has established direct procurement agreements with various agricultural bases to enhance supply chain efficiency, ensuring a diverse range of fresh produce is available for consumers [5]. - The proactive approach in sourcing from multiple regions has strengthened the supply network, allowing for a more resilient and reliable food supply during the holiday season [5].

Core Viewpoint - China Galaxy Securities emphasizes the dual strategy opportunities in the pig farming industry, highlighting the potential for price rebounds in 2026 despite a year-on-year decline in pig prices due to production capacity adjustments and industry losses [1] Group 1: CPI and Pork Prices - In December, China's CPI increased by 0.8% year-on-year, with food prices rising by 1.1%, while pork prices fell by 14.6% year-on-year [1] - The month-on-month CPI rose by 0.2%, with food prices increasing by 0.3%, but pork prices decreased by 1.7% [1] Group 2: Fruit and Vegetable Prices - Seasonal increases in fresh fruit prices are the main driver of the current food CPI, while vegetable price growth has slowed [2] - January vegetable prices averaged 5.59 yuan/kg, up 6.37% year-on-year, with expectations for continued price increases in Q1 due to the later timing of the Spring Festival and weather impacts [2] - January fruit prices averaged approximately 7.88 yuan/kg, up 8.87% year-on-year, marking the highest level for the same period since 2020 [2] Group 3: Feed Raw Material Prices - In January, the average price of corn was 2364.6 yuan/ton, up 0.69% month-on-month and 10.55% year-on-year, with expectations for a stable price range in 2026 [3] - The average price of soybean meal was 3198.97 yuan/ton, up 1.94% month-on-month and 3.82% year-on-year, with a forecast of slight upward movement in 2026 [3] - Overall, the prices of feed raw materials are expected to remain stable, indicating no significant increase in breeding cost pressures [3] Group 4: Pig Farming Outlook - Following a price increase in late December 2025, pork prices are expected to face downward pressure after the Spring Festival due to seasonal consumption patterns [4] - The annual average price of pigs is projected to decline year-on-year, although there may be temporary rebounds influenced by seasonal disease impacts [4]