Pork production chains are the answer

Pig farming in Vietnam remains of small scale, undisciplined and ignoring market signals, therefore farmers cannot ensure the quality of their products. In the opinion of experts, pork production chains will help the pig-farming sector seek stable outlets for its products.  

According to Lebio Joint Stock Company General Director Nhu Dinh Tu, the company has established a pig farming chain using technology to ensure bio-safety and product quality while reducing production costs. The company has undertaken research to apply micro-organism technology in producing feed for pigs to ensure food safety of pork products. At the same time, it has established a closed chain covering all stages from production to sale in order to stabilize market prices of its products and ensure their clear origin.

“Thanks to these efforts, our products have won consumer trust. We buy pigs from farmers at a price of VND35,000 per kg. Selling at this price, farmers can earn a profit of about VND500,000 per pig,” Nhu Dinh Tu said.

Apart from Lebio, other retail chains such as Big Green and Bac Tom, and supermarket chains such as Vinmart and Saigon Coop, are also selling pork at higher prices compared with market prices, but consumers are willing to buy.

Clearly, developing production chains and ensuring the quality of products is a vital solution for the pig farming sector, in both the short and long term. Vo Van Quyen, Director of the Ministry of Industry and Trade’s Domestic Market Department, said farmers will not be able to control prices if they continue breeding pigs on a small scale and in a random manner. In his opinion, to benefit farmers, pork production should be reorganized to be attuned to market signals.

The biggest difficulty facing the pig-farming sector is that farmers still keep breeding in a spontaneous manner and pay attention only to output rather than quality. Moreover, a lack of linkage between farmers and businesses is also an impediment.

To deal with these problems, Minister of Agriculture and Rural Development Nguyen Xuan Cuong said the ministry will discuss measures to reorganize the pig-farming sector in an effective and sustainable manner and according to market signals. Organic farming will be expanded. Pork production chains will be established, bringing into play the role of businesses and cooperatives in order to ensure effective control of product quality and safety.

Pham Van Hoc, Deputy General Director of the Dabaco Group Joint Stock Company, said to successfully develop pork production chains, the Ministry of Industry and Trade and the Ministry of Agriculture and Rural Development should build a communications system to provide farmers and businesses with updated information about market demand.

Despite continuous drops in market prices of pork, some companies such as Lebio, CP and Dabaco can sell their high-quality products at stable prices. These companies also use refrigeration facilities to preserve pork to curb oversupply.