Challenges remain for China´s ecomomy

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Source: CCTV.com | 10-14-2007 14:49

The country has achieved rapid, steady economic growth over the past five years. But the government still must deal with a range of issues, from reining in the mounting inflation pressure in the short term, to the long-term goal of improving the pattern of growth.

Da Sungezhuang Town is in Shunyi District on the northeast outskirts of Beijing. The town is the city's best-known pig-breeding center. This year, pork prices have substantially increased nationwide. But how have the pig-farmers benefited from such price increases?

Li Yongqiang has been raising pigs for 19 years. He started with a handful of hogs to become the town's biggest pig farm operator raising more than 4,000 animals. The sixty-year-old says this year's market is the best he's ever seen.

"In July I could earn some seven to eight hundred yuan by selling just one pig. That price was really high. Now one pig brings in about 300 yuan. If the market continues like this, I figure I can make a million yuan in net profit this year after offsetting the 600 thousand yuan losses in 2006."said Li Yongqiang.

Li Yongqiang has seen his fortunes rise and fall along with the fluctuations of pork prices.

He says 2006 was the most difficult year for many pig farmers, with low pork prices and rising costs. Things were made even worse when blue-ear disease swept through many farms late last year. Li Yongqiang himself lost nearly half of his 4,000 pigs.

Li Yongqiang said, "This year the Premier has announced new supporting policies for us pig farmers, including free blue-ear vaccine and cash subsidies. These policies give us new hope. I also hope the government can help us set up associations, so that we can be better prepared for any future epidemics and price fluctuations."