September 17, 2008

Vietnam's domestic meat industry is facing tough competition from cheap imported meat, according to officials.

In the first half of 2008, Vietnam imported 64,000 tonnes of chicken from Brazil, the US, and Mexico, said Nguyen Thanh Son, deputy head of the Livestock Breeding Department.

Son said the figure equals the monthly production of southern provinces, and that domestic livestock producers are suffering a loss of VND 3,000-5,000 per kg of chicken and VND 1 million per pig.

In contrast, imported chickens are sold VND 5,000-10,000 lower in large supermarkets such as Big C and Metro.

Son, however, warned that consumers should be cautious of the quality of imported meat, as Vietnam does not have official regulations or standards for imported meat.

Bui Quang Anh, head of the Animal Health Department (AHD), further said that some exporters have tried to get rid of meat near the expiration date by exporting to Vietnam.

Son proposed that AHD quickly establish official standards for imported meat to avoid excessive imports and protect domestic livestock producers, a move that would help to reach the target growth rate of 6 percent in animal husbandry.

Son added that standards on preservation time must be defined and agreements on export conditions with foreign partners must be made.

"For example, if we import wings and legs of chicken, they will have to buy our chicken breasts in return," he said.

US$1 = VND 16,575 (September 17, 2008)