HK Stock Market Move | DEKON AGR (02419) surged more than 6% in the afternoon, the digestion of pig production capacity is expected to accelerate, and the company's livestock and poultry costs are ahead of peers.

DEKON AGR(02419) rose over 6% in the afternoon, as of the time of publication, it was up 5.44% at 81.4 Hong Kong dollars, with a turnover of 54.5044 million Hong Kong dollars. According to Caixin, reporters learned from multiple sources that on the morning of March 19th, relevant departments held a meeting, requesting all pig companies to report their annual production targets and to adjust their commitment goals, reducing the annual output based on the completion of reducing the number of sows. Dongxing believes that with the continued trend of fine-tuning policies over the past 26 years and the joint effect of policies and losses, the post-holiday clearance of production capacity is expected to accelerate gradually. Currently, the industry is at a critical stage of capacity clearance and a window of opportunity for left-side layout. CMSC previously pointed out that DEKON has long been deeply involved in the pig and Yellow-feathered chicken breeding industry, and its accumulated breeding advantages make its livestock and poultry costs ahead of its peers. 1) Pigs: The company has long been committed to cost reduction and has consistently ranked among the top in the industry; 2) Yellow-feathered chickens: DEKON's Yellow-feathered chicken business ranks third nationwide, particularly with its high-end varieties such as the specialty "bearded chicken", which has had a good reputation and profit in the past.