July 17, 2020

 

Thailand to limit pork exports due to surging prices

 

Thailand Commerce Ministry's Internal Trade Department said it will impose limitations to pork exports after prices surged to THB 180 per kg (~US$5.67) because of increased domestic demand and higher exports, Bangkok Post reported.

 

The latest prices are the highest in the country in 10 years.

 

An anonymous source from the Commerce Ministry told Bangkok Post that the public has submitted complaints about the high pork prices in the country.

 

Earlier this year, the department agreed with a swine raising group to restrict exports. This was so that domestic pork prices will not be affected if ex-farm pork prices surpass THB 80 per kg (~US$2.52; THB 10 = US$0.32)

 

Retail pork prices have reached THB 170 - 180 per kg(~US$5.36 - 5.67)from THB 150 - 160 (~US$4.73 - 5.05) earlier this year, while ex-farm pork prices are currently THB 86 - 87 per kg(~US$2.71 - 2.74)  from THB 75(~US$2.37) in the same period.

 

The anonymous source said ex-farm prices could go up to THB 90 per kg(~US$2.84) due to strong domestic demand and export markets, with China, Laos and Vietnam the biggest importers of Thailand pork because of African swine fever outbreaks in those countries.

 

Daily, Thailand exports 6,000 - 8,000 swine to those three countries. It exported 400,000 - 500,000 swine in 2019. Thailand's annual swine output is 22 million.

 

The source added that prices have also gone up because of low supplies from the drought.

 

Wattanasak Sur-iam, deputy director-general of the Internal Trade Department said export limit measures will be implemented to ensure domestic supply as agreed upon with swine raisers.

 

Thailand authorities will cooperate with retailers to impose a cap on retail pork prices, as it plans to work with department stores and Blue Flag low-priced shops to supply affordable pork to the public.

 

-      Bangkok Post