Animal feed processors fight high raw material costs

28/01/2008 -- 11:46 AM

Ha Noi (VNA) – The costs of imported raw materials for animal feed have continued to rise despite a Government move to eliminate import duties on the materials. Dried soybeans and corn, two primary ingredients in animal feed, have posted record increases, according to the Ministry of Agriculture and Rural Development’s Breeding Department. By December 2007, the price had increased by 80 percent to 7,700 VND per kg for dried soybeans and by 23 percent to 4,200 VND per kg for corn over the begining of 2007. The prices represented increased of 30-100 percent over 2006. The nation annually imports 500-700,000 tonnes of corn for animal feed at a total cost of 135-185 million USD. The department attributed increasing costs to surging world market prices and freight costs. Viet Nam Feed Association Le Ba Lich said the animal feed industry lacked the capacity to develop domestic raw material sources and support industries. Domestic materials met only 68-70 percent of demand, with imports making up the rest. Deputy Minister of Agriculture and Rural Development Vu Van Tam said the state should permit foreign enterprises to invest directly in building raw material production capacity. The nation also needed to set up a commodities trading floor to stabilise prices and increase reserves of raw materials as a hedge against rising prices, Tam said.-Enditem
Send this page	Print

Lao Cai expects to greet 800,000 visitors in 2008 (28/01/2008)

Domestic airline fare ceiling lifted (28/01/2008)

Seafood processor to buy back shares (28/01/2008)

Top stationery producer auctions shares online (28/01/2008)

Awards honour top foreign enterprises (28/01/2008)

Deputy PM: Viet Nam in rosy prospect (27/01/2008)

First tourism area receives ISO management certificate (26/01/2008)

High tech paper plant to be built in Binh Duong (26/01/2008)

Gold price hits new record of 17.78 million VND (26/01/2008)

Singaporean, Israeli firms invest in Viet Nam (26/01/2008)