Strong fluctuations in domestic feed prices due to dependence on imports have created challenges for farmers. In order to support them to overcome difficulties and contribute to the development of the industry, the introduction of animal feed into price stabilization has been implemented. According to economic experts, this can be considered as a way to regulate the market for this item, helping to adjust the price.
Currently, the total demand for refined feed (maize, soybean meal, bran, fish meal) for the whole livestock industry in Vietnam is about 33 million tons/year. In which, the domestic supply is about 13 million tons/year and the average import is 20-22 million tons of animal feed materials per year.
Up to 65% of animal feed is imported. Recently, the price of animal feed has fluctuated. In the period of 2020 – 2022, the price of animal feed has increased 7 times in a row. Faced with this fact, many units proposed to include animal feed in the group of price stabilization products.
The total demand for refined feed (maize, soybean meal, bran, fishmeal) of the whole livestock industry in Vietnam is about 33 million tons/year. In which, the domestic supply is about 13 million tons/year and the average import is 20-22 million tons of animal feed materials per year.
“When the Government decides on the policy of price stabilization, ministries and agencies managing sectors and fields are responsible for presiding over the inspection of price constituents or assessment of production and inventory costs to determine the causes of price fluctuations. From there, apply appropriate price stabilization measures, in order to indirectly stabilize prices, “said Mr. Tien.
Economic expert Ngo Tri Long assessed that livestock is an important industry in agriculture. In particular, animal feed has a great impact on the efficiency of the livestock industry. When this product is included in the price stabilization area, it will help adjust the price of animal feed when there is a big fluctuation, reducing stress on farmers and businesses.
“In addition to the solution from tax and fee reduction, to reduce the price of animal feed to help farmers and businesses overcome difficulties, they must find ways to cut costs of circulation and distribution of goods through more radical cuts. In addition, administrative procedures, facilitating the connection of supply and demand is the most feasible. The introduction of animal feed into the price stabilizer will have a “regulator” when the price of animal feed fluctuates greatly,” said Mr. Long.
Source: Báo Tiền Phong