The paradox of buffalo and cow prices…from the barn to the market

On average, every day, Nguyen Van An's family's slaughterhouse slaughters 2-3 buffaloes and cows to supply to retailers.

According to the reporter's records, before November 2021, the price of live beef was at 110,000 - 120,000 VND/kg, but since the end of 2021, the price of live beef has dropped to 90,000 VND, then 80,000 VND, and now it is only 60,000 - 70,000 VND/kg. The price of live beef is currently "hitting rock bottom", the lowest in the past 5 years.

However, while the price of buffalo and cows at the barn has decreased, the price of buffalo and cow meat at traditional markets has not decreased. Commercial beef remains high, ranging from 180,000 - 250,000 VND/kg depending on the type of meat; the price of buffalo meat remains at 170,000 - 230,000 VND/kg; the price of veal ranges from 160,000 - 230,000 VND/kg. Foods processed from beef and veal such as beef ham, veal ham, sausages... remain almost the same price, ranging from 220,000 - 250,000 VND/kg; 700,000 VND/kg of dried meat...

Ms. Nguyen Thi Hoa, residential group 6, Thanh Truong ward, Dien Bien Phu city shared: "Newspapers and radio stations reported that the price of buffalo and cows has dropped sharply, reaching the lowest level in many years, but every day when I go to the market to buy buffalo, cows and veal, I see that the price has not decreased. The price of thigh meat is 250,000 VND/kg; the price of tenderloin is 230,000 - 240,000 VND/kg. This price is still quite high while the price of buffalo and cows has decreased by almost half."

According to those who specialize in buying buffalo and cows, usually, after the breeder sells the cow to the trader, the cow will be transferred to the slaughterhouse. After butchering, the slaughterhouse owner sells the meat to traders before it reaches the consumer. The value chain from the breeder to the consumer goes through many intermediaries; each stage makes a profit, so the price of commercial beef remains high.

The price of commercial buffalo and beef at the markets remains high.

The buffalo and cow slaughterhouse of Mr. Nguyen Van An's family, Group 7, Nam Thanh Ward, Dien Bien Phu City, slaughters an average of 2-3 buffalo and cows per day. According to Mr. An, when buffalo and cows cost 110,000 - 120,000 VND/kg, the meat will be sold wholesale to retailers for 190,000 - 200,000 VND/kg. Currently, his family is buying buffalo and cows for an average price of 60,000 - 65,000 VND/kg, so the price of meat sold to retailers has decreased, but depending on the type, it ranges from 160,000 - 175,000 VND/kg of meat, with clean meat being a little more expensive.

Explaining that the price of buffalo and beef has decreased but is still high, Mr. Nguyen Van An said: Because the slaughterhouse still has to bear many costs from labor, slaughtering costs, electricity, and water. In addition, some types of meat have decreased sharply such as: Rib meat decreased from 170,000 VND/kg to 110,000 VND/kg; buffalo and beef skin decreased from 40,000 VND/kg to 7,000 VND/kg, so the price of other types of meat such as thigh meat and rump meat only decreased slightly to compensate for each other. Meanwhile, traders in the market mainly import thigh meat and rump meat for sale.

To better understand the price of buffalo and cows from the slaughterhouse to the market, we continued to visit some traditional markets in the province. Although the actual purchase price at the slaughterhouse was not specified, most of the traders specializing in selling buffalo and cow meat at the market confirmed that the price of buffalo and cow meat at the slaughterhouses had decreased compared to before but was still high. Therefore, the selling price to consumers, although there was a decrease, was not significant. For example, the type of meat that many people and restaurants ordered, but each buffalo and cow has very little of this type of meat, so the selling price remains at 250,000 VND/kg. In the coming time, especially near the Lunar New Year 2025, the demand for buffalo and cow meat will increase, according to traders, the price of buffalo and cow meat will increase accordingly.

At Central Market 1, Dien Bien Phu City, dried buffalo and beef meat is being sold for 700,000 VND/kg.

The price of buffalo and cows for export has decreased, raising and selling both at a loss, while the price of finished meat remains high, many livestock farmers have considered applying for permission to slaughter cattle to retail meat at the market. For example, Mr. Trinh Van Khoe, Muong Phang commune, Dien Bien Phu city, had to switch from raising buffalo and cows for fattening to slaughtering buffalo and cows to sell to small traders and retail at the market to recover capital.

How long will the paradox of beef prices last? This is still a question waiting to be answered. In fact, in recent times, apart from a number of conditionally traded items subject to state price management and supervision, most food-related items, especially fresh food, are still priced by small traders. In particular, the implementation of price posting and selling at listed prices in traditional markets is still almost left open, which is also a challenge in price control.

In the province, most of the livestock systems and slaughterhouses are small-scale, lacking connectivity, leading to fragmented business practices that do not follow market rules. The price of buffalo and beef fluctuates based on the market. It is time for the Department of Agriculture, the Department of Industry and Trade, and relevant agencies to coordinate and intervene to find solutions to regulate prices appropriately; reorganize the market, especially the distribution and circulation channels for buffalo and beef to overcome price chaos, contributing to sustainable livestock development.

Source: https://baodienbienphu.com.vn/tin-tuc/kinh-te/219676/nghich-ly-gia-trau-bo%E2%80%A6-tu-chuong-ra-cho