New Hope Says No Near-Term Capacity Expansion, Plans Feed Cost Cuts via Germplasm
New Hope announced on August 20 that it has no near-term capacity expansion plans. After lowering slaughter scale, it will strengthen production management to sustain cost reductions. Since 2026, the company has prioritized boar germplasm improvement to enhance pig weight gain and reduce feed costs. Feed sales in the first quarter increased by over 800,000 tons.
The company stated on its interactive platform on August 20 that it has no plans to expand capacity in the near term. Following the reduction in slaughter scale, cost-sharing burdens have increased. To maintain the pace of cost reduction, the company plans to strengthen production management and reduce costs across all stages.
Since 2026, the company has focused on boar germplasm improvement to boost weight-gain efficiency in commercial hog fattening and lower the feed-to-meat ratio, thereby reducing feed costs. The feed business performed well in the first half of the year, with first-quarter sales volume rising by more than 800,000 tons.
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