News 2153 views last update:6 Aug 2012

Vietnamese animal feed importers face huge losses if Indian feed rejected

Vietnamese animal feed importers face huge losses if they are forced to return almost 100,000 tonnes of maize and soybean to India because of termites.

The feed arrived from India in early January and the Vietnamese Ministry of Agriculture and Rural Development's Plant Protection Department has asked importers to return the goods rather than allowing it to be fumigated as usual.

The department said Vietnam was free from the invasive pest and it had told Indian suppliers to fumigate the feed before it was sent because it was such a large quantity that would have been too difficult to fumigate.

Vietnam Feed Association’s chairman, Le Ba Lich, said the department had previously allowed feed stock to be imported and fumigation if termites were detected.

He went on to say that about 20 enterprises will suffer total losses of US$35-40 million if the goods have to be returned, and will receive no compensation for the loses.

Tran Thanh Quang, an association representative, said the return of the feed could create a serious shortage in the animal breeding world - and force prices sky high.

Hoang Trung, deputy director of the Plant Protection Department, said the termites (trogoderma granarium) were listed among the most 100 invasive insects in the world and could seriously affect Vietnam's agricultural exports of rice and other farm products.

The feed is currently being stored at the ports of Hai Phong and Sai Gon. And the issue has been forwarded to the Government for a final decision.


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