May 23, 2006

FMD downs pork consumption in southern Vietnamese markets
 

The recent foot and mouth (FMD) disease in Vietnam has made southern Vietnamese consumers turn to seafood and poultry instead, resulting in falling pork prices.

Retail pork prices have reportedly dropped by VND5,000/kg to VND35,000-37,000/kg in the city's key markets. On the other hand, seafood and poultry prices rose 15-20 percent, according to the Binh Dien wholesale market management board.

Even so, Ho Chi Minh City markets'pork traders have complained that pork meat remained unmarketable despite the sharp price decreases. Its biggest pork wholesale market Pham Van Hai saw falling pork volumes recently due to declining demand from smaller markets, with the market management revealing that the number of pigs transported to the market has dropped to 2,700- 2,800 a day in recent days.

A market trader also confirmed falling sales by nearly 50 percent from before the outbreak, which has now hit 33 out of the country's 64 provinces. Out of the country's 8 million cattle and 25 million pigs, almost 30,300 cattle and pigs have been affected.

However, pork businesses remain optimistic; they forecast that pork prices would gain in the next two months from shortfalls as cattle raisers now frantically try to offload products at low prices to avoid bankruptcy.

The city's pork processing companies also expect a pork shortfall and have indicated that they will stockpile healthy pigs and frozen pork in expectation of mounting demand after the outbreak.

Since late February, FMD has broken in about half of Vietnam, including areas bordering China, Laos and Cambodia. Vietnam's president has instructed state agencies to fight the disease through better surveillance, including culling sick animals, vaccinating healthy ones, and stopping the trade and transport of infected livestock.