Summary of reply to proposal No. 04454 (agricultural water conservancy No. 370) of the fifth session of the 13th National Committee of the Chinese people’s Political Consultative Conference
By: Date: 2022-07-28 Categories: authoritativerelease Tags: ,
Member Liu Yonghao:good member:
 
We have received your proposal on stabilizing pig production capacity, reducing cyclical fluctuations and guiding the steady upgrading of the pig industry. In consultation with the national development and Reform Commission, the Ministry of finance, the State Administration of market supervision, the China Banking and Insurance Regulatory Commission, the China Securities Regulatory Commission, and the Agricultural Development Bank of China, we hereby reply as follows:
 
I. about supporting the R & D and innovation of pork processing products
 
In recent years, the Ministry of agriculture and rural areas, together with the Ministry of finance, has increased support to encourage and guide pork product processing enterprises to improve their technological level, enrich product types, and expand pork consumption scenarios. First, support the construction of pig industry clusters. Since 2018, a total of more than 1.2 billion yuan of central financial funds have been allocated to comprehensively build 6 advantageous and characteristic industrial clusters with pigs as the leading industry and 40 strong agricultural towns. Through project driven, optimize the allocation of resource elements, promote enterprises to upgrade technology and equipment, and promote the development of pork intensive processing. The second is to carry out the integration of pork product processing technology. Build an integrated scientific research base for fresh pork processing technology, focus on the research and development of pork processing technology and equipment, increase research and development investment and technical research, and provide technical support for the intensive processing of pork products.
 
Next, the Ministry of agriculture and rural areas will continue to increase its support for the construction of pig industry clusters and strong agricultural towns, guide the upgrading of technology and equipment, and further improve the level of pork intensive processing.
 
II. On strengthening pork quality and safety supervision
 
The State Administration of market supervision attaches great importance to and continues to strengthen the quality and safety supervision of livestock and poultry meat procurement, processing, circulation and operation, including pork, and urges producers and operators to implement their food safety obligations in accordance with the law. First, strengthen the quality supervision of pig products. Continue to list pig products as food safety sampling monitoring varieties, covering food safety indicators such as Clenbuterol and veterinary drug residues. In 2021, the”sale of animal products with excessive drug residues and meat without quarantine and detection of Clenbuterol” was also taken as the focus of the”iron fist action” case investigation, and typical cases were published to realize the deterrent effect of warning in the investigation and handling of a case. The second is to carry out in-depth actions to improve the quality and safety of meat products. Large and medium-sized meat products enterprises are encouraged to organize production according to good production practices and improve the level of food quality and safety management. 2131 enterprises have adopted HACCP, ISO22000 and other advanced food safety management systems. At the same time, we will increase support and technical services for small and medium-sized meat production enterprises and small processing workshops to help with transformation and upgrading.
 
Next, the State Administration of market supervision will continue to strengthen the quality and safety supervision and management of pigs and other livestock and poultry products, and promote the steady and healthy development of the pig industry. Urge all localities to continue to strengthen the supervision and inspection of pig products and other livestock and poultry meat markets, and strictly prevent unqualified meat and infected products from entering the market and entering the table. We will carry out in-depth actions to improve the quality and safety of meat products, continue to strengthen the inspection of food cases, actively cooperate with relevant departments to carry out special rectification actions, and severely crack down on violations of laws and regulations.
 
III. Strengthening Financial policy support for breeding enterprises
 
The Ministry of agriculture and rural areas actively coordinates with the Ministry of finance, the China Banking and Insurance Regulatory Commission, the Agricultural Development Bank of China and other departments to continue to guide the banking and insurance industry to increase financial support for pig breeding enterprises, improve the quality and efficiency of financial services, and promote the sustainable and healthy development of the pig industry. First, strengthen policy guidance. The notice on supporting stable pig production and ensuring market supply, the notice on further strengthening support to promote stable pig production and supply, and other documents were issued to clarify a series of financial support measures. In May 2022, the China Banking and Insurance Regulatory Commission further provided window guidance to relevant financial institutions, requiring them to do a good job in the credit support of the national pig production capacity regulation base, and should not arbitrarily restrict, withdraw or cut off loans to pig farmers and slaughtering and processing enterprises. Second, optimize financial products and services. Carry out mortgage of land management rights, breeding pens, large-scale breeding machinery and live pigs. Support the inclusion of eligible pig breeding related loans into the policy business scope of the agricultural development bank according to procedures. From 2019 to 2021, the Agricultural Development Bank has invested 107.615 billion yuan in pig industry loans, exceeding the target of investing 50billion yuan in pig loans in three years. Third, strengthen the pig insurance policy. Stabilize the insurance amount of fertile sows and fattening pigs, and dynamically adjust the insurance amount according to the changes of production costs, so as to realize the full insurance coverage of farmers. Through the central government subsidy funds to support qualified places to carry out fattening pig price index insurance and other businesses, and further reduce the risk of pig production and operation.
 
Next, all relevant departments will continue to stabilize financial support policies, guide bank and insurance institutions to strengthen credit support for the pig industry and continuously improve the level of insurance protection under the premise of sustainable business and controllable risks. Further increase the support for the premium subsidy of pig materialization cost insurance, and study the role of pig price insurance and income insurance in stabilizing pig production through the central government financial reward and subsidy policy.
 
IV. on improving the pig futures trading mechanism and guiding rating agencies to evaluate breeding enterprises reasonably and objectively
 
The CSRC continues to promote the improvement of the pig futures trading mechanism, give full play to the role of the futures market in price discovery, risk management and other aspects, guide rating agencies to constantly optimize the rating methods of breeding enterprises, and help the development of the pig industry. First, start and run pig futures. Since the listing of pig futures in January 2021, many measures have been taken to strengthen market supervision, optimize contract rules, and strengthen market training to promote the smooth operation of pig futures market. At present, the overall operation of pig futures is stable, and the contract delivery is smooth and orderly. Second, enhance the participation of industrial customers in futures. The average daily trading volume and positions of pig futures increased from 22100 and 21400 in the initial stage of listing to 40000 and 110000 in May 2022. Among the top 20 leading enterprises in pig breeding in China, 11 have become pig futures delivery repositories, and more than 10 listed companies in pig breeding plan to use the futures market to assist in their operations. Third, improve the basic rating system. Rating agencies are required to formulate scientific rating methods and perfect quality control systems to guide rating agencies to improve their practice quality. At the same time, from the aspects of strengthening the construction of rating method system, improving corporate governance and internal control, strengthening information disclosure and optimizing rating ecology, we put forward comprehensive regulatory requirements for rating agencies.
 
Next, the CSRC will continue to promote the improvement of pig Futures Rules and systems, explore innovative products, make rational use of the futures market, and promote the stability of pig production capacity and the healthy development of the industry. Further require rating agencies to optimize rating methods, enhance the foresight of rating results, guide the market to make rational use of credit rating results, and better serve the development of pig production.
 
V. improving the pork quality and safety traceability system
 
In 2021, the State Administration of Market Supervision issued the guiding opinions on carrying out meat quality and quantity safety improvement actions, focusing on pork, and urged relevant enterprises to establish and improve the food safety traceability system. First, strictly control the quality and safety of raw and auxiliary materials. Urge meat production enterprises to formulate and implement the raw and auxiliary material control system, and implement the system of asking for certificates, tickets and incoming inspection. Focus on the key links of meat production, adopt information means, and establish and improve the food safety traceability system. Second, improve the level of risk prevention and control in the industrial chain. Support breeding and processing enterprises to carry out the operation of the whole industrial chain, and encourage enterprises to adopt”factory (field) supervision”, supplier audit, contract agreement and other methods to supervise each other, so as to consolidate the responsibilities of market players in all links of the industrial chain. Third, the school canteen is required to establish a food safety traceability system. Strictly implement the incoming inspection requirements of pork and other food raw materials, and disclose the purchase, processing and production information of food raw materials. Encourage the use of information-based means to collect and retain pork and other food business information to ensure the traceability of food quality and safety.
 
In the next step, the State Administration of market supervision will continue to carry out in-depth actions to improve the quality and safety of pork products, establish and improve the meat food safety traceability system, guide the market to increase certification and traceability of safe meat consumption, and promote the high-quality development of the meat industry.
 
Thank you for your concern about the work of our department and hope to continue to support the work of agriculture, rural areas and farmers.
 
Ministry of agriculture and rural areas
 
July 25th, 2022