Vietnam’s livestock sector is under growing strain as a surge of cheaper imported meat outpaces local supply, raising concerns over the industry’s long-term sustainability, Viet Nam News has reported.

In a nation where pork plays a huge role in the dietary preferences of almost 100mn Vietnamese it is being seen as a serious issue for the long-term health of the domestic livestock sector.

In the first seven months of this year, imports of livestock products reached nearly $2.6bn, an increase of almost 23% compared with the same period in 2024. Of this, meat and meat by-products made up more than $1bn, while milk and dairy products exceeded $860mn. In July 2025, alone, imports were valued at close to $400mn.

Officials attribute the trend to a combination of rising domestic demand and high production costs at home, which have left Vietnamese meat prices consistently above those of foreign suppliers.

At supermarkets and convenience stores in Hồ Chí Minh City, pork from Brazil is typically 20–30% cheaper than Vietnamese pork. Frozen products from Europe, Canada and Australia are also widely available, often priced at just 60–80% of local equivalents.

Because of this, the price gap is fuelling demand for foreign meat, leaving local farmers increasingly vulnerable. The Southeast Livestock Association warns that domestic producers face high costs because they rely heavily on imported raw materials and operate on a relatively small scale. At the same time, Vietnam’s open market allows imported goods to compete directly with domestic products, further eroding local competitiveness.

Exchange rate fluctuations between the US dollar and the Vietnamese dong have compounded the challenge, while recent policy changes have also added to the financial burden. A 5% value-added tax was recently imposed on animal feed, which had previously been exempt, pushing production costs even higher.

The result has been weaker competitiveness for local producers, higher prices for Vietnamese meat and falling profitability across the sector.