Pork price remains high despite price controls
Pork price remains high despite price controls
The pork price in different Vientiane markets still remains above the set ceiling despite the government's efforts to control the peak price of the meat.
The government, especially the Domestic Trade Department, announced before Lao New Year (Pi Mai) that market traders must sell pork for not more than 37,000 kip per kg of grade A pork.
But vendors are now selling top-quality pork for around around 40,000 kip per kg.
On the bright side, farm gate prices have fallen slightly since last month thanks to the cooperation of entrepreneurs, the department's Director General Mr Leuam Nhongvongsithi told Vientiane Times yesterday.
The cost of pork at the farm gate rose to between 22,000 kip and 25,000 kip a kg but it has fallen to between 21,000 kip and 22,000 kip, according to the Vientiane pig farmers' group.
This price for live pigs is under the government's set price but several pig breeders complained that the pork prices in the market still exceed the limit imposed by the government.
Mr Leuam said the pork price in some districts of Vientiane during Pi Mai celebrations rose to about 45,000-50,000 kip a kg as high demand outstripped supply. He believed that the pork price will fall even more as supply recovers and is able to meet demand.
Mr Leuam said the rising pork prices recently made large profits for meat vendors, while Vientiane pig breeders profits were small and the hardest hit were low-income families who cannot afford meat anymore.
He said the government would have trouble controlling the rising price of pork in the market if there is a lack of cooperation from vendors and entrepreneurs, noting that prices would not rise if there was sufficient supply.
There is a high demand for pork at the present time as many people have shifted to consuming pork after the cost of beef spiked recently.
Different provinces have tried to import pigs from Vientiane but breeders had to refuse due to high demand at local markets, Mr Leuam said.
Vientiane requires about 500 pigs a day to supply the main markets but pig producers could provide only around 300 pigs per day.
Mr Leuam observed that the pork price control order has not been effective as yet due to a lack of law enforcement.
vientiane times
