Brazilian pork is cheap because the raw material price is very low; the Thai Commerce Ministry is advised to fix the problem

Published 2024년 9월 19일

Tridge summary

The National Swine Raisers Association of Thailand has explained the mystery behind the cheap smuggled pork from Brazil to the Minister of Commerce, Pichai Naripthaphan, by pointing out the significant cost of animal feed ingredients in Brazil compared to Thailand. Thailand's high cost of animal feed, largely due to high prices of protein plant group and corn, makes pork production expensive, and farmers are calling for policy adjustments. Small-scale farmers are contemplating legal action against the government for corruption and high corn prices, unchanged for seven years. Proposals have been made to lower production costs by adjusting the animal feed policy, potentially allowing Thai pork to compete with Brazilian pork and reducing living costs for the public. The association argues that a shift in the government's approach could lead to economic growth through pork exportation.
Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

(September 19, 2024) Mr. Sittipan Thanakiatphinyo, President of the National Swine Raisers Association, clarified doubts for the Minister of Commerce, Mr. Pichai Naripthaphan, who claimed during a media interview that why smuggled pork from Brazil is so cheap, even though there are under-the-table fees along the way and it is sold in the Thai market at a cheaper price than domestic pork. The truth is that it is because the cost of animal feed ingredients in Brazil is very low. While the cost structure of pig production in Thailand, with 65-70% of the cost coming from animal feed ingredients, which are under the policy supervision of the Ministry of Commerce, is very high, both the protein plant group, such as soybean meal, which has been marked up with excessive profits, causing the protein animal feed ingredients in Thailand to be the highest priced group in the world, including corn in Thailand, which is more than 10 baht per kilogram, while the price of corn abroad has ...
Source: Pasusart

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