Vientiane fish prices no small fry

The price of farmed fish has jumped to more than 20,000 kip per kg in Vientiane, the highest price on record, according to fish farmers.

Vientiane residents are complaining that the high cost of fish is affecting household budgets, especially for those on low incomes.

Prices have soared due to rising demand in the capital as consumers turn to fish after the outbreak of blue ear disease in June cast doubt on the safety of pork meat.

Supply of fish is also currently low because many farmers are breeding less stock this wet season after suffering from low prices during the last dry season. An oversupply of fish in Vientiane during the dry season forced many fish farmers to sell their stocks at a loss, and some even closed their businesses as they were unable to repay debts owed to banks.

Another factor was a group of foreigners illegally operating a fish farm, which inflated supply and drove down prices, according to President of the Fish Farmers' Association Mr Kaenchan Thaylavan.

The price of farmed fish began climbing in mid-July, rising from about 12,000 kip to the present 23,000 kip.

One fish farmer, Ms Teng, said fish prices had increased almost every day since the middle of July. “It increases 1,000 kip per kg almost every day or maybe every second day,” she said.

“Previously the highest fish prices were no higher than 20,000 kip per kg. This year the prices are at a record high.”

Mr Kaenchan said the association had proposed a price of 16,500 kip per kg for farmed fish in Vientiane because the cost of production is estimated at 14,500 kip per kg.

The price proposal was sent to the Vientiane Agriculture and Forestry Department and Vientiane Department of Commerce and Industry almost a month ago. But Department of Commerce and Industry Director Mr Beulin Phetchanthalath claims his department never received the proposal.

Mr Beulin said the department is investigating the reasons behind the current high prices before submitting a report to higher authorities for a decision on the matter.

He said lifting the ban on imports of fish from neighbouring countries was not the solution as current supply is adequate, adding that the problem relates to price management.

Between 10 and 12 tonnes of fish is consumed per day in Vientiane during the wet season, and that increases to between 15 and 16 tonnes a day in the dry season.

The association says farmers are able to produce between 18 and 20 tonnes of fish per day which is considered adequate to meet the needs of Vientiane consumers.

By Somsack Pongkhao
(Latest Update August 11, 2010)