How to stabilize pig prices sustainably?

The prolonged price of live hogs above 50,000 VND/kg has many potential consequences for the livestock industry. Minister Nguyen Xuan Cuong said that the prolonged unreasonably high live hog price of over 50,000 VND/kg will create unpredictable consequences, especially the risk of the penetration of imported pork leading to danger. Diseases, especially African swine fever, have broken out in 20 countries.

Representative of C.P Vietnam Group, Deputy General Director Kieu Minh Luc said that C.P is selling the number of pigs to the market every day, up to 30% higher than normal days. In order to have enough pig supply for slaughterhouses, C.P traders have to lower the standard weight of live pigs from over 120kg/head to 90kg/head. However, Mr. Luc confirmed that the unit could not maintain this intensity for a long time because the pigs did not grow up in time to sell.

In charge of the pig industry of Japfa Vietnam Co., Ltd., confirmed that with the current pig price of over 50,000 VND/kg, livestock enterprises are very happy but not exactly what they want, the price that pig producers want to maintain. The most stable is the price axis of 40,000 - 45,000 VND/kg.

Proposing solutions to help stabilize pig prices, the representative suggested that the Ministry of Agriculture and Rural Development, directly the Department of Livestock Production, regularly update and share information with large enterprises. In particular, in terms of technical solutions, it is possible to increase the weight of pigs from the current 90kg to another 10-15% to increase the supply of pork to the market, helping to gradually lower the pig price to less than 50,000 VND/kg.

According to the design of Mr. Vo Viet Dung, General Director of Hanoi South Food Processing Group Joint Stock Company, if possible, the Ministry of Agriculture and Rural Development and the Department of Livestock Production can ask businesses to voluntarily publish the selling price from which to give the most reasonable average price. Besides, according to Mr. Dung, the pig industry currently lacks industry associations to be able to sit together, forming a chain and a large enough market share to be able to regulate the market.

Agreeing that there should be an association on pig farming, Deputy General Director of Dabaco Vietnam Group Pham Van Hoc emphasized that there must be associations with enterprises with a large enough market share to be able to work together. Management agencies step in to regulate when the market goes in an unreasonable or bad direction, which is not beneficial to the livestock industry in the long run like the current hog price. But Dabaco alone or C.P reducing the selling price alone cannot solve the problem.

According to Mr. Hoc's research, currently, fortunately, the price of live hog in Vietnam is basically equal to the price of hog in China and higher than the price of live hog in Thailand by about 3,000 - 5,000 VND/kg, thus limiting the creation of a high level of production. attractive profits to smuggle pigs across the northern border.

According to Hoc, there is no more sustainable solution than for livestock enterprises to continue to improve production efficiency and lower product costs so that the selling price to consumers is more reasonable. Currently, Dabaco Group is selling pork that is raised and slaughtered by the enterprise itself at Dabaco's supermarket system at a price 5 - 6% lower than the market.

And Mr. Le Thanh Phuong, Livestock Director of Emivest Feedmill Vietnam Co., Ltd. said that in the short term, hog prices should be allowed to move according to the market's supply and demand laws, in the long term, associations should be established to coordinate cooperate with state management in regulating and grasping supply and demand. According to Mr. Phuong, it is the consumers who decide the selling price and currently there are many alternatives to pork, so there is no need to worry in the short term.

Speaking at the meeting with businesses and localities, Minister of Agriculture and Rural Development Nguyen Xuan Cuong emphasized that reducing the selling price or increasing the purchase price is not necessarily a failure, a lesson in the field of shrimp seed and shrimp. Trade shows that. Therefore, Minister Nguyen Xuan Cuong hopes that pig breeding businesses must share their best and get the right profit to get the long haul. The road here is a stable market that is maintained for a long time instead of being expensive today and cheap tomorrow.

According to Minister Nguyen Xuan Cuong, currently, Vietnam exports agricultural products to more than 100 countries and territories, earning approximately 40 billion USD each year, so it is important to protect the domestic market, especially the pig farming industry. regulatory agencies are under tremendous pressure from partner countries.

After the crisis, pig farming is now enjoying good price conditions and a dream scale. Smallholder farmers have reduced from 4.5 million to 3 million and the goal of the Ministry of Agriculture and Rural Development is to reduce gradually down to 2 million, 1 million and one day there will be no more small-scale livestock production so that only modern, high-tech farms and livestock enterprises are left to compete as well as minimize pollution pressure. contamination to the environment.

Therefore, Minister Nguyen Xuan Cuong requested businesses operating in all stages from feed, livestock processing, slaughtering, processing, retail consumption within their ability to continue to improve, change High management value, production value, lower cost to protect the pig industry, which is developing very well as it is today.

Via: nongnghiep.vn