Fodder price increases
It snowed heavily all parts of Mongolia last winter. The herdsmen are barely surviving because of the windy and cold weather. Livestock fodder resources have become scarce, and prices have increased. Expert of the Animal Husbandry Policy Implementation Department of the Ministry of Food, Agriculture, and Light Industry G.Naranchuluun said, “Last winter, about 40 percent of the entire area had white dzud and more than 30 percent of black dzud. Due to the worsening of the situation in the spring, the ministry has set up an urgent headquarters and is in contact with the representatives of the provinces every day, receives information, and resolves some issues with the government and special state commission. For example, 1.1 tons of grass and 8,624 tons of fodder were provided to herders of 14 provinces at a 50 percent discount from the state reserves. Also, organizations such as World Vision, Mongolian Red Cross Society, United Nations, and Save the Children Fund have provided support worth 2.3 billion MNT to herders. About 95 percent of domestically prepared hay and animal fodder has been consumed as part of winter preparations. Therefore, the demand for grass and fodder has increased in some places.”
Moreover, when asking about how much is the price increase for the fodder, expert J.Tsogtbaatar said, “Compared to the previous year, the price of fodder has increased by 15 to 20 percent. The state reserve is also decreasing. Currently, there are 791.4 tons of bran in flour and fodder factories, and 200 tons to 350 tons of mineral fodder in concentrated feed factories. One ton of bran is sold for 520,000 MNT to 800,000 MNT. The Ministry is paying attention to increasing feed production and keeping resources at an appropriate level. For example, the feed mills were contacted to ensure that resources are not interrupted and to sell to local people at the lowest possible price. There are about 50 factories in the country, 30 of which are in permanent operation. To stabilize the price and then reduce it, they turned to the State Council for Official Monitoring and submitted a proposal for cooperation. Measures are being taken, such as the provision of equipment to produce fodder at a discounted price in the rural areas.”