Nghe An: Pig prices plummet, meat prices remain high

Since the end of February this year,pig priceThe price of pigs for slaughter has been decreasing. In early March, the price of pigs was at 53,000-56,000 VND/kg, by mid-March it was 50,000-53,000 VND/kg and now, the price of pigs for slaughter is only 45,000-48,000 VND/kg.

Mr. Cao Thanh Hoan in Quynh Tam commune (Quynh Luu) has a pig farm with a total herd of more than 120 pigs. Restocking after Tet, he actively takes care of the pigs, hoping that the price of live pigs will increase, hoping to recover his capital after a long period of loss.

With the current price of live pigs, farms are suffering heavy losses. Photo: Thanh Phuc

Mr. Hoan said that out of more than 100 commercial pigs being raised, about 40 are ready to be sold at 100 kg each; the remaining pigs will be sold in the next 30-40 days. At this time, the selling price of live pigs is only 47,000 VND/kg, so the next batch of pigs to be sold is considered to be unprofitable, even a loss.

“According to my calculations, a pig from raising to selling takes about 4 months, reaching a weight of 100 kg, and will incur an initial investment cost of 5 million VND/pig. At this time, the selling price of live pigs is below 50,000 VND/kg, and the farmer will be completely "empty-handed", not to mention the 4 months of care,” Mr. Hoan shared.

Mr. Tran Van Nham has reduced the scale of his pig farm and only maintains a herd of 30 sows to proactively have breeding stock. Photo: Thanh Phuc

This time, Mr. Tran Van Nham (Yen Xuan hamlet, Thanh Ngoc commune, Thanh Chuong) is also preparing to sell nearly 50 pigs.Food prices skyrocketed,Some types increased by 50%, so input costs for livestock farming, especially pigs, increased sharply while the price of pigs for slaughter decreased sharply. Therefore, he reduced the herd from 200-300 pigs to 100, maintaining 30 sows to proactively provide breeding pigs for the farm.

“I roughly calculated that I lost about 30 million VND from these 50 pigs. That is if I can still control the breeding stock, otherwise I will lose a lot. I have invested in the barn and rented land so I cannot leave it empty. I have now switched to raising chickens for meat, but the current chicken price is very unstable,” said Mr. Nham.

Over the past year, the price of live pigs has decreased from 73,000-77,000 VND/kg (same period last year) to 45,000-50,000 VND/kg (depending on the locality) as at present. Accordingly, the price of live pigs has decreased by about 23,000-28,000 VND/kg.
The paradox of sharp drop in pork pricesmeat priceIn traditional markets, supermarkets and retail stores, the price of pork is still high. Specifically, when the price of live pigs was at 73,000-77,000 VND/kg, the retail price at traditional markets was around 110,000-150,000 VND/kg... But when the price of pork turned around and plummeted to only 45,000-50,000 VND/kg, at markets and supermarkets, the price of meat only decreased slightly or did not change much.

Although the price of live pigs has plummeted, the price of meat at traditional markets remains high. Photo: Thanh Phuc

Surveyed at supermarkets and traditional markets in Vinh city, pork prices are currently at 100,000-130,000 VND/kg (depending on the type). For example, at Hung Dung market (Vinh city), lean shoulder meat costs 120,000-125,000 VND/kg, grade 1 spare ribs cost 160,000-170,000 VND/kg, ground meat, pork belly costs 110,000 VND/kg... At some suburban markets, meat prices are cheaper, ranging from 5,000 - 10,000 VND/kg (depending on the type).

At supermarkets and clean food stores, the price of pork of all kinds remains very high, from 140,000 - 189,000 VND/kg (depending on the type). Meanwhile, at rural markets, the price of pork remains high, from 90,000 - 120,000 VND (depending on the type).

Ms. Nguyen Thi Ha, a meat trader at Hung Dung market, said: “The price of live pigs has decreased, but the sharp increase in gasoline prices has increased the cost of transportation from the farm to the slaughterhouse and from the slaughterhouse to the market, so the price of meat cannot decrease much. In addition, intermediaries are the main reason why the price of meat to consumers is higher than the price of pigs at the farms.”

According to statistics, the price of live pigs has decreased by 40% compared to the same period last year, but the price of meat has only decreased slightly, remaining at a high level. The reason is that the intermediary cost is too high. Photo: Thanh Phuc

Explaining the situation when the price of live pigs is high, the retail price of meat increases rapidly, but when the price of live pigs turns around and drops sharply, the price of meat remains high, decreases slowly, and decreases "dripping" without correspondingly, according to representatives of the livestock industry, it is because the intermediary cost is too high, pushing up the price of pork in the context of continuously increasing gasoline prices, and the prices of other consumer goods also fluctuate and increase accordingly.

Therefore, to balance the price of live pigs and meat, it is necessary to shorten the intermediate steps by formingchain linkage in livestock farming.Ms. Vu Thi Bich Hang - Head of the Department of Agriculture and Rural Development of Quynh Luu district said: "Quynh Luu district currently has more than 40,000 pigs raised in 4 large farms and households. In the coming time, the district is focusing on directing localities with strengths in livestock farming to build a chain-linked farm system to stabilize output and balance prices."

Thanh Phuc