VietNamNet

A Dumex’s marketing officer at Big C supermart said that among Dumex’s products, Dumex 1 for less-than-six-month babies sees the biggest price increase of 9%.

Abbot has also announced the price increase for its products as of March 1. Its Advance IQ series see the price increase of 5-10%, or VND10-20,000/unit.

Explaining the sale price increase, importers said that the material prices are increasing on the world market, while milk producers all have raised the sale prices, resulting in higher import prices. Besides, high inflation rate, and high tax have also been cited as the reasons behind the milk price increases.

However, director of a local milk producer has denied the facts, saying that the material prices are stable in all the markets of the world, except , where there is the crop failure due to the drought. “There has been no change with output and prices in all other markets in the world,” he confirmed.

Representative from a HCM City-based milk company, which makes dairy products from the materials 100% imported from , also said that there have been no fluctuations in material prices, and the company has been stabilizing the sale prices for three months.

A paradox exists on market is that the fierce competition among milk producers does not result in price decreases, on the contrary, it makes prices escalate. Vietnamese consumers believe that the most expensive products are the best. Therefore, dairy producers and distributors have a lot of business opportunities in .

Source: http://english.vietnamnet.vn