
In order to stabilize prices and prevent further damage to farmers' interests, the government has purchased the frozen pork at prices slightly above market price, the National Development and Reform Commission (NDRC) said in a statement.
The oversupply of hog is expected to continue for a period of time, the NDRC said, asking farmers to watch the markets closely and adjust their production plans.
Food prices have a one-third weighting in the calculation of China's consumer price index, a major gauge of inflation, with pork prices being an important component.Stabilizing pork prices is an important task for the government in taming inflation and deflation.