HCMC sees sharp rise in pork imports in H1
HCMC sees sharp rise in pork imports in H1
Traders in HCMC imported more than 5,600 tons of pork, valued at US$10.29 million, in the first half of 2019, up a staggering 4,800 tons and US$8.1 million in revenue from one year earlier, according to the HCMC Department of Industry and Trade.
Data reveals that more than 2,300 tons of pork, valued at US$4.3 million, was shipped from Brazil, followed by the United States, with 874 tons worth US$1.7 million, and Poland with 848 tons worth US$1.4 million.
Also, pork imports from Belgium and the Netherlands totaled 238 tons and 210 tons, respectively, worth some US$620,000 and US$431,000.
The department ascribed a steep rise in pork imports to the fact that every kilo of pork was worth VND30,000 (US$1.2), lower than the prices of domestically-produced live pork.
Given the country’s increasing economic integration, the removal of trade barriers has enabled the local pork market to be linked with foreign markets, to a certain extent.
For example, Vietnam reopened its door to Brazil’s pork products late last year. As a result, pork imports from the South American country witnessed a marked increase in the city.
Most local processors use pork imports to produce ham, sausages and hot dogs, rather than offering them for retail sales, since local consumers are inclined to choose fresh meat, instead of frozen meat, except for specialty pork.
Nguyen Nguyen Phuong, head of the department’s Office of Trade Management, said at a press brief today, July 22, that due to the ongoing outbreak of African swine fever, the country is expected to experience a reduction in pork stocks late this year, and pork prices are likely to increase.
Currently, the department is trying to import and stockpile pork, and increase the supplies of other alternatives, such as chicken and beef.
Statistics from the department indicate that pork supplies intended to stabilize prices total more than 4,000 tons a month, accounting for 21% of the local market share.
Some major suppliers are domestic meat producer Vissan, Saigon Agriculture Incorporated (Sagri), and San Ha Foods. For example, Vissan may stockpile up to 3,600 tons of pork every one-and-a-half months, and import meat in case of major fluctuations.
African swine fever, which is deadly to pigs but harmless to humans, was first detected in Vietnam in February and has spread to farms in 62 of the country’s 63 provinces and cities, except for the south-central coastal province of Ninh Thuan. Authorities have culled some 10% of pig herds to contain the outbreak.
Pork makes up three-quarters of total meat consumption in Vietnam, a country of 95 million people, where most of its 30 million farm-raised pigs are consumed domestically.
The country’s pork industry is valued at some VND94 trillion (US$4.04 billion), and accounts for nearly 10% of Vietnam’s agricultural sector.
