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VietFoodstuff Trade and Market (Week 27th Oct – 2nd Nov)
07 | 11 | 2008
Import tax rate has increased for 2 weeks but meat prices fell continuously. Especially, price for ready-to-cook chicken has dropped sharply and only recovered after the extraordinary rain spell on large scale in the Northern provinces.

Although the Government has promulgated decision on raising import tariffs on meat, live hog price in Hanoi market stayed at 32,000 VND for 2 weeks (much lower compared to 37,000 VND in May). Prices in Da Nang and HCMC has gone up slightly since the middle of the week (Oct 24th), only by 0.7% - 0.8% (equivalent to 250 VND/kg). Especially, live hog prices decreased further 500 VND/kg in Can Tho to 30,000 VND/kg. Prices in Can Tho this week has been down 3,000-4,000 VND/kg from the beginning of October.



According to law of supply and demand, chicken price in Hanoi market must remain unchanged or slightly fluctuate but in contrast, it suddenly decreases sharply 10,000 VND per kg to 80,000 VND per kg for ready-to-cook original chicken and 40,000 VND per kg for ready-to-cook industrial chicken. Because a bulk of imported chicken production have been still stocked in ports as well as in markets. For first 9 months, chicken was imported at the most significant quantity which reached to further 100,000 thousands tons (increasing three times compared to 2007).

Beef: After a sharp decrease in all markets last week, the price of leg beef tends to stand still this week. In Hanoi only, the price increases again to 103,500 VND per kg (an increase of 3.5%), after a decrease of 5,000 VND per kg last week. The prices stand at 99,000 VND per kg, 109,000 VND per kg, and 108,500 VND per kg in Can Tho, HCM City, and Da Nang respectively.



In general, prices of pork and beef this week are changing according to useful trend for raisers. Farmer’s reproduction is increasing gradually, for example, price for 10kg-feeder pig in Tien Giang market and Than Cuu Nghia started remaining unchanged, not to continue decreasing similar to last week. However, it takes some weeks for farmers to invest in reproduction freely because at that time, feed price will decrease actually and information on melamine-contaminated meat products will be made clear.

Heavy rain in the Northern provinces caused flood for many districts of Hanoi which led to difficulties in carrying food into Hanoi. Bad weather as well as effects of demand reduction duet o flooded situation pulled up meat and foodstuff price to double or three times.

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