Reducing pork prices is not as tax-free

Pork prices have always been an important factor affecting the trend of China's CPI. Will the rising price of pork lead to an overall rise in prices? Li Pumin, secretary general of the National Development and Reform Commission and spokesperson of the press, said at a press conference held yesterday that at present, China’s pork supply is sufficient, and pork prices are expected to fall.

Do not underestimate the "small step run" of pork prices, and it can not ignore the pressure on ordinary people's daily lives. Engel's law clearly tells us that the more low-income groups, the greater the proportion of total household expenditure that they spend on food purchases. It can be imagined that ordinary people, especially the majority of low- and middle-income groups, are naturally more responsive to rising food prices.

Faced with the rapid growth of pork prices, whether it is due to the reasons for watching inflationary pressures, or to lighten the pressure of consumption and stress on the people, the economic authorities and economic experts must not only have “reasonable” arguments afterwards and do not need to take early warning. The rationalization of remediation, rectification, and rectification proposals and measures is a top priority.

For the ups and downs of pork prices, there is a proper term - "pig cycle." In the "pig cycle" of constant reincarnation between the current ups and downs, the pig breeding market and pork supply market are still relatively spontaneous and disorderly. The price of pork has risen and swarms of bees have gone up to increase the number of pigs raised. Excessive supply of live pigs has caused pork prices to fall. Trapped in such a tossing cycle, pig farmers are always vulnerable to injury and consumers are unable to eat for a few days.

Relevant data show that the fact that the current pork market is very easily overlooked is that foreign pork imported is often half as cheap as domestic pork, which shows that the price of domestic pork is obviously high. The high price of domestically produced pork is not because of the large profit margin but because of the high cost.

In the rearing section, domestic pigs have small, scattered, and disorderly breeding scales, resulting in low economic benefits and high feeding costs. In circulation, transportation costs and slaughter costs of pigs are high, leading to rising pork prices. Not to be unaware that a slaughtered pig has to pay a series of taxes and fees, including value-added tax, urban construction and maintenance tax and education surcharges, personal income tax, business management fees, quarantine fees, and slaughterhouse (field) processing service fees, etc. . In this context, even if there is no "pig cycle", the pork price will not be too "civilian."

At this moment, in the face of “the price of pigs on the tuyere”, it is necessary to reflect on how we can make pig farmers and pig sellers lose money, and let consumers eat cheaper.

To reduce the price of pork, in the long run, it is necessary to follow the path of large-scale, standardized pig breeding in order to resist the impact of the “pigs cycle” on prices, so as to significantly improve the feeding period and reduce the cost of raising the meat. From the immediate perspective, the most direct and most effective means is to streamline and reduce the collection of pig slaughtering and slaughtering expenses. In other words, the burden of pig transport and slaughter expenses is an urgent requirement for pigmen to earn profits and confidence. It is also a way for the people to crack down on cheaper pork and is an effective way to improve people's livelihood.