July 17, 2013

Mongolian meat exports decline while prices rise

Mongolian meat exports decline while prices rise: "-Why do Mongolian meat prices keep increasing every year despite all the programs and money spent to keep them stable?
-The main reason is inconsistency in the proportion of supply and demand. Also, an increase in the migration of province residents to the capital has caused over population in Ulaanbaatar. Thus, the price of meat has been increasing dramatically in the city as the demand for meat and meat products has greatly increased, while the demand has a tendency to decline in the western and steppe region provinces of Mongolia. Though there are storage facilities with cooling systems, they are mostly outdated. All these [factors] contributed to the meat price incease.
-Why can’t Mongolia meet the demand for meat when we have over 40 million livestock?
-Supply becomes short depending on different meat consumption. For instance, Mongolians don’t eat camel and horse meat that much and we don’t use young livestock or breeding livestock for the meat trade. Thus, the amount and variety of meat being supplied becomes more narrow. By 2017, we will consume 288,800 tons of meat according to our study. But Mongolia is only able to supply 228,000 tons."

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