Vietnam-Meat and food prices coming down.

VIETNAM –FOOD PRICES COMING DOWN.

The prices of most of food items in Hanoi have been decreasing, except chicken and some kinds of seafood. The abundant supplies and the consumers’ policy on tightening their purse strings have been cited as the main reasons behind the price decreases.

In previous years, the prices always went up right after Tet when not many suppliers resumed the supply after long holidays. However, the situation is quite different this year. While the supplies remain profuse, the demand is low as consumers have been tightening their purse strings after they spent a lot of money on Tet already.

Local newspaper VnExpress reported that the prices of vegetables in Hanoi have decreased significantly in the last two weeks. Certain kinds of vegetables have even seen the prices cut by a half in comparison with pre-Tet days. The warm weather makes the vegetable supplies in the capital abundant.

At some markets in Hanoi like Kim Lien, Thanh Cong, Giang Vo and Doan Thi Diem, the price of one kilogram of tomatoes is now between VND 14,000-16,000, a decrease of VND 6,000 over the previous week and VND 10,000 over the week just before Tet. Kohlrabi, cabbage, and water dropwort have seen the sharpest price decreases among the vegetables. A bulb of kohlrabi is now selling at between VND 500-1,000, while it was sold at VND 5,000-7,000 in the days just before Tet.

Nhan, the owner of a vegetable stall at Nam Dong market in Hanoi, said that vegetables are diversified and abundant. After the historical flood in November 2008, which severely damaged vegetable growing areas, farmers in the suburb areas of the city rushed to farm vegetables hoping to earn a lot of money. As the result, the supplies of vegetable have become available in excess threatening to see the supply exceed the demand.