In the past time, the livestock industry has faced many difficulties because it has had to prevent epidemics in livestock, poultry and the impact of the COVID-19 pandemic, so the consumption of livestock products has been slowed down, the selling price of livestock products has decreased while the price of animal feed continued to high increase, causing farmers to struggle. Those are the main reason why it is difficult for farmers to stabilize production.
It was estimated at the end of October 2021, the total number of pigs in the whole country decreased by about 1.5% compared to the same period in 2020. Pig production is continuously facing difficulties, although the African swine fever epidemic is basically control, only arising small outbreaks, but if there are no close prevention measures, there will still be a risk of outbreaks again.
Along with that, the price of animal feed is constantly increasing, making it even harder to re-herd. Prices of animal feeds increased sharply, increasing by 3-5 times compared to previous times, even thought there are some types increasing by 6-7 times. The reason for this price increase is mainly due to the high import prices of animal feed ingredients. In the first months of the year, adverse weather in major exporting countries and high shipping rates due to the scarcity of containers, and China’s push to purchase and import grain… had a great impact on raw material prices, animal feed prices in the world and Vietnam.
The price of animal feed increased while the price of live hog has decreased continuously since the end of April. In October 2021, the price of live hog dropped sharply compared to the previous month, at one point time reaching the bottom of about 32,000 – 35,000 VND/kg, only about 70% – 80% compared to the previous month. However, in the last days of October, hog prices increased again but not stably. Therefore, relevant authorities, ministries and branches need to take quick and strong measures to promptly control this problem, ensure a production environment so that farmers can assured to re-herd.
It is estimated at the end of October 2021, the total number of buffaloes in the whole country decreased by 3.9%, the total number of cows increased by 1.1% compared to the same period in 2020. Although buffalo and cow husbandry has developed relatively stable, the Lumpy Skin Disease has gradually been controlled, but the risk of recurrence is still high. In order for disease control to be timely and effective, and to minimize damage to livestock farmers, local authorities and specialized agencies need to drastically and synchronously implement solutions to prevent and control diseases.
It is estimated that the total number of poultry in the country as of the end of October 2021 decreased by 1.2% compared to the same period in 2020. Poultry production also faced many difficulties. Production costs increased, circulation was interrupted, market demand decreased, backlogs of livestock were high, and losses persisted. Many breeding facilities also reduce herds or temporarily stop raising.
In addition, due to the impact of the Covid-19 pandemic, many wholesale markets and traditional markets have temporarily closed operations, restaurants and eateries have closed, tourism has stagnated… causing the demand for meat of all kinds to decrease, the food consumption chain is broken. As a result, the price of cattle and poultry meat dropped sharply, and small-scale livestock production establishments faced difficulties in consumption, so the backlog of livestock in cages was high, increasing the risk of losses. In October, although social distancing measures were halted, the demand for pork consumption increased more than the previous month, but the price has not improved, still much lower than the time before the Covid -19 pandemic for the fourth time while the price of animal feed is still increasing, putting more pressure on farmers.
Thus, although the number of heads at the end of October decreased compared to the same period last year, the supply was still larger than the demand because the market demand has not fully recovered, businesses and livestock households suffered losses resulting do not want to re-herd. If this situation persists, the supply will decrease in the first months of next year. Facing the volatile situation, functional agencies and local authorities need to push measures to support the purchase of backlogged livestock products, stimulate consumer demand, control feed prices; to gradually re-plan production, control imported raw materials, and intermediate stages from production to consumption; implement policies to support farmers to re-herd and stabilize production to ensure supply during the upcoming Lunar New Year and for the first months of 2022.