Saturday, March 23, 2019 5:12:18 PM - Markets open
VN-INDEX 988.71 +6.93/+0.71%
HNX-INDEX 108.09 +0.28/+0.26%
UPCOM-INDEX 57.23 +0.34/+0.60%
High production costs make Vietnam's poultry industry vulnerable: experts
Source: Thanhnien - 8/25/2015 2:38:36 PM
 (0 ratings. You must sign in to rate.)
As Vietnamese poultry producers are seeking an anti-dumping case against US exporters, experts have warned that without improving their own productivity and cut costs, local breeders will eventually lose their market to both regional and international rivals.

The warning was heeded at a Friday meeting in Hanoi, where Nguyen Thanh Son, chairman of the Vietnam Poultry Association, pointed out that although local chicken production grew at a fast pace between 2003-2012 -- 9.3 percent a year compared to the world rate at 3.7 percent, Vietnamese productivity is lower.

For instance, in 2010, it took local big farms an average of 49 days to raise a 2.2-kilogram chicken, and it was much longer for small farms, news website Saigon Times Online quoted Son as saying.

Elsewhere around the world, the time needed was 37-41 days, he said, adding it was expected to be even shortened further to 31 days by 2020.

Meanwhile, most of chicken production's inputs are imported, from breeds and veterinary drugs to animal feed.

As a result, Vietnamese chicken products' prices are 1.5 times higher, or even twice the world's, Son said.

In fact, Vietnam cannot compete with even Thailand, where it costs only $1.2 to produce one kilogram of chicken, compared to $1.6 per kilogram here, Agriculture Minister Cao Duc Phat told the meeting.

"I'm very concerned. Thailand can post up to $4 billion a year in chicken exports, while Vietnam is still struggling to keep its industry alive," the minister said.

He was quoted as ordering relevant agencies to make field trips to the neighboring country to learn how to improve local productivity.

In the meantime, many participants were concerned that with the lack of competitiveness, Vietnam's chicken products will hardly rival Thai imports when the ASEAN Economic Community is established at the end of this year, allowing free flows of goods.

Last month the Southeastern Poultry Association, which represents more than 3,000 breeders in Ho Chi Minh City and nearby provinces like Binh Duong and Dong Nai, announced that it is preparing to file an anti-dumping lawsuit against US chicken thighs.

It claimed that the fact that US chicken thighs are sold "unreasonably" cheap at VND20,000, or 90 cents, per kilogram here has driven its members to huge losses.

US producers have rejected the claim.

As of July, Vietnam's chicken imports were equivalent to 64.3 percent of those last year when more than 100,500 tons of chicken were brought into the country, according to the agriculture ministry's statistics.
Newer News
22/03 A billion pairs of shoes exported
22/03 Huge potential for Vietnam, Laos to collaborate in cooperative economy
21/03 Seminar talks Vietnam’s economic growth model
20/03 Prime Minister welcomes Hong Kong investors
20/03 Vietnamese brands make global mark
20/03 Seafood expo bolsters Vietnamese exports to US market
18/03 RoK steel companies eye investment in Vietnam
15/03 Government may withdraw environmental tax hike proposal
15/03 Textile-garment exports aim for 40 billion USD
14/03 VN seeks new ways to attract private funds for infrastructure projects
Older News
25/08 Oil slump costs VN $2.5b in export losses this year
20/08 Retail petrol price falls again
19/08 Why Vietnam is the most investor-friendly country in Southeast Asia
19/08 Vietnam mulls higher taxes on big cars to relieve strained infrastructure
19/08 Firms must stay informed as wage rules take effect
19/08 Steel output reaches highest in a decade
18/08 Petrolimex reports 172% rise in profits
17/08 State-owned groups speed up equitisation
17/08 EVN loses hold of local power market
17/08 VN coffee growers near bankruptcy
 
Newsletter Signup
Top Stories
Vinalines Logistics’ profit growth projected at least 10 percent
Shares move little as Tết approaches
Consumer price index slips 0.07 per cent during August
Average VND/USD exchange rate rises by another 1%
Vietnam doubles dong’s trading band after China devalues yuan
Market Update
Last updated at 3:10:50 PM
VN-INDEX 988.71 +6.93/+0.71%
Real-time chart
Top 5 Actives
Top 5 Gainers
Top 5 Losers
My Favorite Quotes
Your most recently viewed tickers will automatically show up here if you type a ticker in the Get Quotes box on the top of the page.
Company Research
Type in the symbol above for thorough background information, key statistics and financial information.
Stock Sectors
We continuously improve our services, here are the latest updates...
Portfolio
Allow you to monitor a customised group of securities. You can set up multiple Portfolios to help you better manage your investments.
Trigger Alerts
Get up-to-date alerts delivered directly to your email address.
Stock Screener
Allow you to filter the market and find exactly what sort of company you are looking for.
Live Terminal
Get instant access to FREE REAL-TIME streaming quotes for hundreds of stocks from HOSE, HNX and UPCOM exchanges.