Likes ReceivedHuitianfu Livestock ETF (159172) experienced significant unusual movements, with funds firmly adding positions during the trading session.
On April 23, the three major A-share indices collectively declined. In terms of sector performance, the live hog farming concept underwent adjustments. The E Fund Farming ETF (159172) fell by over 2% in the early session, then experienced a random V-shaped recovery, narrowing its losses. During the session, it received a net subscription of 4 million units, with net capital inflows exceeding 6.5 million yuan in the previous trading day.
On the news front, leading farming company Muyuan Foods stated at its Q1 earnings conference that it slaughtered 8.279 million hogs in Q1 2026, a year-on-year increase of 55.6%, with capacity utilization exceeding 100%. The slaughtering and meat segment continued its positive operating trend, achieving profitability in Q1 with an average profit per head close to 20 yuan.
On the policy front, a combination of stockpiling purchases and capacity control measures has been implemented. Faced with persistently low hog prices and the hog-to-grain ratio entering the first-level warning zone for excessive decline, the National Development and Reform Commission, the Ministry of Commerce, and the Ministry of Finance have taken joint action. On April 2, multiple departments initiated the central reserve frozen pork stockpiling purchase program. On April 3, the second batch of 10,000 tons of central frozen pork stockpiling purchases was conducted through listed bidding. The first batch of 10,000 tons had already been initiated in March.
On April 17, the Ministry of Agriculture and Rural Affairs held a symposium on the development of the hog industry, proposing to accelerate the culling of low-yielding, older productive sows and weak piglets, strictly control new capacity additions; guide enterprises to sell hogs in line with market trends, with leading companies taking the lead in implementing destocking requirements; and stabilize hog prices and reduce industry cyclical fluctuations through the deep integration of administrative, environmental, and financial measures.
Huatai Securities' research report indicates that the National Bureau of Statistics recently announced that the industry's inventory of productive sows reached 39.04 million as of Q1 2026, representing a cumulative destocking of 3.4% compared to the Q2 2025 peak. Reviewing 2021 and 2023, the proportion of public funds' heavy holdings in the livestock farming sector significantly increased in the quarter following cumulative destocking of 5.1% and 3.4%, respectively. On the same day, the Ministry of Agriculture held a symposium on the development of the hog industry, reiterating the emphasis on capacity reduction. It is highly likely that the industry will continue to experience cash losses and consumption in Q2 to Q3 2026. Combined with policy efforts, non-linear capacity destocking could occur at any time, making it an opportune moment for sector allocation. From the perspective of the entire cycle's layout, companies with cost advantages remain the preferred choice.
The "hog cycle" inflection point may be approaching. The E Fund Farming ETF (159172) has a higher and purer "hog content"!
The E Fund Farming ETF (159172) tracks the CSI Livestock Farming Industry Index, which has demonstrated superior performance. Since 2023, the overall trend of the CSI Livestock Farming Industry Index has been stronger than that of similar indices.
Is the big opportunity in the "hog cycle" here? The E Fund Farming ETF (159172) tracks the CSI Livestock Farming Industry Index. Among ETFs tracking the same underlying index, it leads in size, with a "hog content" as high as 62.4%, leading the entire market! As of April 22, 2026, the top ten constituent stocks of the E Fund Farming ETF's (159172) underlying index (CSI Livestock Farming Industry Index (931946)) account for a combined weight of 67.29%. Among them, the first and second largest holdings—Muyuan Foods and Wens Foodstuff Group—account for a combined weight of up to 29.5%, heavily invested in high-quality A-share "live hog leaders"!
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