 Bid to stabilise milk market
VNS - 9/9/2010 9:10:00 PM
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The domestic milk market is dominated by foreign firms. To help domestic companies improve their competitiveness, an association of dairy companies was set up at the beginning of this year. Viet Nam News reporter spoke with Mai Kieu Lien, chairwoman of the association, about its future plans.
How did you go about setting up the Viet Nam Milk Association?
We first thought about setting up a milk association three years ago when we realised that the Vietnamese milk industry was beginning to make a significant contribution to the national economy.
Demand for milk this year has increased considerably. Furthermore, competitiveness has also heated up, which means local firms need to have a common voice.
The association was born with the belief that milk companies and managers should work together to raise the local industry’s profile.
The main aim of the association is to gather together organisations and individuals involved in the domestic milk industry to discuss and exchange information. That’s the only way we can sustainably develop the industry.
It will also play a major role in helping domestic companies compete with foreign firms.
What benefits will there be for Vietnamese consumers?
The consumer will get a better quality product at a fairer price.
The association allows firms to share their experiences in trade and technologies.
As a result, our members are able to improve their products’ quality.
Given time, our association will find ways to stabilise the milk price. Since our establishment, our members have been able to reduce their costs, despite the fact that raw material prices have gone up.
What steps will the Vietnamese milk industry take to boost the quality of milk products?
The Vietnamese milk industry is developing to meet increasing domestic demand in terms of quality and quantity.
In my opinion, domestic dairy firms should invest in farms from which they can buy milk. That way, they will be able to ensure that the quality of the milk they sell is of consistent standard. They will also be able to cut their dependence on imported raw materials.
Our association has in the pipeline plans to promote the domestic industry abroad.
How best can domestic firms compete with foreign dairy firms?
The best way is to change consumers’ way of thinking.
The mass media has a major role to play in this.
Managers and nutritionists must also promote high-quality milk products.
In addition, dairy companies must publicise information about their products. They should also increase the range of their products.
Ultimately, it is down to consumer choice.
A new circular on registering milk powder for children under six year old has just been released. What do you think about it?
Actually, the regulation governing the price of milk for children under six years old is not new. It has been mentioned in previous circulars. The only difference is that the supervisory role has been strengthened and punishments clearly set out.
I don’t think this new circular will have much of an impact on the domestic industry because the price of their products is lower than that of foreign companies.
However, it may cause problems for companies that have a broad range of products because of the registration requirement.
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