Massive imports of cheap meat and by-products crush domestic products

Many types of meat imported to Vietnam are sold at super cheap prices. Photo: NVCC

According to the Center for Digital Transformation and Agricultural Statistics (Ministry of Agriculture and Rural Development), by the end of the first quarter of 2023, the import value of livestock products reached 740.7 million USD, up 1.5% over the same period in 2022. Of which, imports of milk and dairy products are estimated at 354.6 million USD, up 5%; imports of meat, meat by-products and edible by-products after animal slaughter are estimated at 302.3 million USD, up 0.5% over the same period last year.

Notably, the import value of meat and edible meat by-products in March jumped to 144.3 million USD, pulling the import value of this group of products from negative growth of 19.8% in value in the first two months of this year (compared to the same period in 2022) to positive growth in the first quarter of 2023.

Major markets supplying meat and edible by-products to Vietnam include India, Brazil, Germany, Russia, Canada, Spain, South Korea, the US, Australia...

In 2022, Vietnam also spent 1.52 billion USD to import meat, meat by-products and edible animal by-products, up 9.1% over the previous year.

The import price of this group of products is always low. In January of this year, the average import price of meat and meat products to Vietnam reached 2,092 USD/ton (less than 50,000 VND/kg).

A wholesaler of imported meat in Hanoi named Thanh Duong said that his warehouse usually sells wholesale by the ton, however, customers still buy a few boxes or a few dozen boxes. Because their cold storage collective kitchens cannot hold much, the amount of goods imported each time is also limited.

However, the wholesale price of meat by ton is different from that by quintal, because the principle is that the more you import, the cheaper it is. Mr. Duong cited that if you buy ribs by ton, the price is only 18,000 VND/kg, but if you buy by quintal, the price is 23,000-25,000 VND/kg depending on the type; hind leg costs 23,000-26,000 VND/kg, front leg costs from 26,000-30,000 VND/kg depending on the quantity; pork ribs cost 65,000 VND/kg; pig heart and tongue both cost 42,000 VND/kg; boneless pork belly costs 87,000 VND/kg, the type with ribs costs 67,000 VND/kg; lean ham costs 56,000 VND/kg, pork chops cost 68,000 VND/kg...

“These items all have an expiry date of 2024 and 2025,” Mr. Duong emphasized. On the market, imported pork and pork by-products are sold at retail prices quite cheap compared to domestic products. Meanwhile, some types of beef imported from India or Australia are half the price of beef sold in the market. Therefore, imported meat and by-products are always preferred by restaurants, eateries, and collective kitchens.

Talking to PV. VietNamNet, Mr. Nguyen Kim Doan - Vice President of Dong Nai Livestock Association said that although the amount of imported meat and edible by-products accounts for a small proportion compared to the total domestic meat output, while the supply is abundant and the consumption demand has decreased sharply, imported goods still affect our country's livestock industry.

Currently, both chicken and pig prices are at rock bottom. Chicken and pig farmers are losing about 10,000 VND/kg when selling their products. Many large businesses and farms have had to reduce their herds and raise livestock at a moderate level.

He said that imported meat and by-products are very cheap. Meanwhile, businesses are tightening spending due to production difficulties. Accordingly, corporate kitchens prioritize choosing imported meat for processing because of its low cost.

“Not considering the quality, just considering the price, we can see that domestic pork, chicken, beef, etc. cannot compete with imported goods,” he said. Therefore, he recommended that in the current context, we should limit the import of meat and by-products, and prioritize the use of domestic products to support farmers and businesses.

Currently, the price of live pigs for slaughter fluctuates from 48,000 to 52,000 VND/kg. Meanwhile, the price of short-term colored-feather chickens in March decreased to 33,000 VND/kg; white-feather industrial chickens in the South and Central regions decreased to 20,000 to 21,000 VND/kg, in the North the price was 29,000 VND/kg... The reason for the downward trend in prices is due to reduced purchasing power, and a sharp decrease in meat consumption in industrial zones and collective kitchens.