HANOI, VIETNAM —After a slump in the first half of 2023, Vietnam’s livestock industry is expected to rebound in the months ahead, driven, in part, by lower corn prices that have led to a gradual reduction in animal feed costs, according to a Global Agricultural Information Network (GAIN) report from the Foreign Agricultural Service (FAS) of the US Department of Agriculture.

The FAS forecasts animal feed demand to increase from 20.6 million tonnes this year to 21.4 million tonnes in 2024.

With corn prices standing lower than those of wheat and rice, the import demand for corn is projected to reach approximately 8.8 million tonnes in 2023, the FAS said. Conversely, import demand for feed wheat and feed-grade rice has experienced a decline.

“It’s worth noting that the drop in demand for feed-grade rice can be attributed to the Indian government’s ban on rice bran extract exports from July 28 through Nov. 30, along with the imposition of a 20% export duty on parboiled rice,” the FAS said.

 The FAS revised corn consumption in Vietnam in 2022-23 up slightly to 13.9 million tonnes, with imports estimated at 9.8 million tonnes, up 600,000 tonnes from the prior year. It projects 2023-24 corn imports at 10.2 million tonnes.