While the Covid-19 pandemic persists in the region, many economic activities have resumed, including foodservice, which some industry observers say would boost demand for animal protein. However, inflation has cut deep into consumers’ pockets, leading to some efforts to control prices and expansion.

In Sri Lanka, the government has capped egg prices and is now considering controlling chicken and fish prices.

In Malaysia, despite the chicken surplus that resulted from an export ban, the government also decided to keep its ceiling price on chicken. Prices have fallen below the cap, prompting calls for the government to let the market float and lift the export ban, but no such announcement was made.

Meanwhile, rising feed costs and sporadic PRRS outbreaks in Vietnam have driven up pig prices. With inflation potentially limiting food consumption, the government warned farmers to hold off on expansion unless they see a rise in demand.

Inflation too has affected Vietnam’s seafood exports. In July, exports to the US plunged 30%. High inflation rates in key markets like the US and Europe are causing food prices to rise. Nevertheless, the country’s Vietnam’s seafood exports from January-July reached 6.7 billion dollars, giving exporters some optimism about reaching its export target of over 10 billion dollars for 2022.

And while optimism in the regional animal protein sector may be tempered by problems and challenges, and industry stakeholders worry about prices affecting consumption, there is no doubt that demand remains, and this must be served.