On July 10, pig prices in the northern province of Nam Dinh topped the country at VND69,000 (USD2.71) per kilo against VND50,000 per kilo at the beginning of the year.
Pig price hikes have pushed pork prices. Pork at G-Kitchen shops in HCM City is sold at VND189,000-275,000 (USD7.42-10.81) per kilo.
Pig prices in Vietnam have reached their highest level over the past two years, benefiting livestock firms
At traditional markets, belly pork is sold at VND150,000-160,000 per kilo, VND10,000-20,000 higher than the start of the year.
Le Xuan Huy, deputy director of C.P Vietnam Livestock Corporation, said that the firm’s pig is sold at VND63,000-68,000 per kilo. If the situation continues, a new price level for the pork market will be established.
According to an expert in the livestock industry, stricter environmental protection and disease safety standards have increased production costs, making it difficult for businesses to expand their herds. Dozens of livestock farms in Dong Nai in particular have suspended their operations or can only continue for a few more months for failing to meet the standards.
Meanwhile, localities near HCM City, including Binh Phuoc and Tay Ninh, no longer have land available for concentrated livestock farming, so businesses have had to turn to the Central Highlands region. This has resulted in additional transportation costs.
Quach Phong, Director of the Consulting Department at Ipos Vietnam Market Research Company, said that following great losses last year, the number of households raising pigs in Vietnam have sharply declined. This was among reasons for higher pig prices.
Pig prices are expected to ease by the end of this year to VND60,000 per kilo thanks to the operational expansion of livestock companies.
The Ministry of Agriculture and Rural Development's report for the first half of this year indicated that the country’s total number of pigs by late June was around 25.5 million, representing an on-year rise of 2.9 percent.
Vietnamese pork imports rebounded in May after three consecutive months of fall. In May, around 11,330 tonnes of pork worth USD25.19 million were imported into Vietnam, up 30 percent in volume and 11 percent in value on-year. The average import price of pork was VND56,500 per kilo, much lower than domestic prices.
Between January and May, the country imported a total of 30,700 tonnes of pork valued at USD68.57 million, up 3.9 percent in volume but a decrease of 6.7 percent on-year. Brazil, Russia, Canada, Germany and the United States were the biggest suppliers of pork to Vietnam during this period.