A recent CNN article discussed the market for pork in China. Declining numbers of pig farmers, higher costs of feed, and a disease that killed thousands of pigs dramatically decreased the supply of pigs in China. The price of pork has risen significantly and is being blamed in a large part for the rising inflation rate. The government has decided to release pigs from its reserves to help combat these high prices and the rapidly increasing inflation.
With these abnormally high prices for pork, you would think that there would be plenty of incentives to being raising pork or importing it from elsewhere. The problem is that the government has frozen prices and is trying to enforce those price ceilings. Essentially they are hurting the market by not allowing it to adjust itself. If they were to allow the price to rise high enough, either demand for pork would decrease because no one would want to pay that high of a price, or the supply will increase as new and existing suppliers raise more pigs to sell as the rewards will be great with the current prices.
The government needs to quit intervening and allow the supply and demand to adjust and fix themselves.