Nguyen Xuan Duong, deputy director of the Animal Husbandry Department of MARD, also said the total demand for corn is forecast at 4.5 million tonnes for the year with an estimated price tag of more than US$1 billion.
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“The rising trend experienced by corn imports over recent years is primarily attributable to the increased demand for corn in the production of animal feed,” Duong said.
“Vietnam lacks sufficient agriculture acreage to significantly expand corn production and must rely heavily on imports to meet the increasing demand.”
It is also difficult for domestic farmers to compete with the foreign market price, Duong admitted, adding that corn is currently averaging US$245-248 per tonne, equivalent to VND5,800-5,900 per kilogram, while the domestic price hovers around VND6,200 per kilogram.
Industry experts say to reduce corn imports, the agricultural sector must apply biotechnology to become more competitive and invest heavily in building corn preservation and distribution systems.