Due to an increase in the VND/USD dollar rate, retailed milk prices will go up 5 to 10 percent in early 2010.
Milk prices increase
As of January 1, 2010 Hancofood’s milk product prices have risen 10 percent. 3A Company, an Abbott’s distributor, has also increased their milk prices 7.4 percent.
In addition, Friesland Campina Vietnam, a Dutch Friso milk manufacturer, plans to increase their milk prices by 10 percent and 2 percent of liquid milk products.
Beginning January 9, Tien Tien Company, a Mead Johnson’s distributor in Vietnam, will increase Enfa A+ product prices by 7 to 9 percent.
Milk manufacturers blame the growing price of the US dollar in the Vietnamese market, as well as minimal salary increase policies issued recently by the government, for their increase in milk prices.
However, retailed milk prices in Vietnam double the original prices, according to the latest research by inspectors of the Ministry of Finance.
Eventually customers have to bear too much expenditure by milk manufacturers such as salary, management, advertising, marketing etc…This causes milk prices to keep rising.
