联合国贸易发展委员会-蒙古国内外肉类价值链调查（英）-2021.11-57页_2mb

Summary of the Survey on the Domestic and Export Meat Value Chain in Mongolia

Core Content

This report provides an in-depth analysis of Mongolia's meat value chain, focusing on the export sector. It explores the roles of stakeholders, identifies bottlenecks, and outlines policy implications to enhance the efficiency and effectiveness of the meat export value chain.

Main Stakeholders in the Meat Value Chain

• Herders: Primary producers of livestock, responsible for raising animals on pasturelands. They face challenges such as limited access to financial services, price volatility, and environmental risks.
• Middlemen: Act as aggregators and transporters of livestock from remote areas to meat processors. They play a critical role in connecting herders with the market.
• Slaughterhouses and Processing Plants: Convert livestock into meat products. These facilities are essential for value addition and export readiness.
• Logistics and Distribution Companies: Facilitate the transport and delivery of meat products to both domestic and international markets.
• Buyers: Include local retail chains, restaurants, and international importers such as China, Russia, Vietnam, and Muslim countries.

Key Challenges in the Meat Value Chain

• Price Volatility: Prices fluctuate due to seasonal changes, exchange rate issues, and export dynamics. Seasonal price increases occur in spring due to restricted livestock sales, while prices drop in summer and autumn.
• Livestock Health: Diseases such as foot-and-mouth disease and others like ecthyma and rabies pose significant risks to the meat sector. Poor health management leads to lower meat quality and export restrictions.
• Pasture Degradation: Overgrazing and environmental degradation have reduced the quality and quantity of livestock. Over 57% of pastureland is classified as degraded, and the livestock population exceeds ecological capacity.
• Regulatory and Export Constraints: Government intervention through export quotas and inefficient regulatory procedures create barriers for meat exporters.
• Informal Trade Practices: Many herders rely on informal trade channels, which can lead to lower food safety standards and reduced market access.

Value Chain Structure and Dynamics

• The meat value chain in Mongolia is characterized by thin margins between producer and retail prices.
• The chain involves a complex regulatory environment, with stakeholders needing to comply with both local and international standards.
• The export market is dominated by China and Russia, with increasing interest from other countries.
• The meat processing industry is growing, with a focus on meeting export demands and improving product quality.

Government Role and Policy Implications

• The Ministry of Food, Agriculture and Light Industry (MoFALI) plays a central role in regulating the sector, including setting export quotas and managing livestock supply.
• The General Authority for Veterinary Services (GAVS) is responsible for disease control and animal health management.
• The Mongolian General Customs Administration (MCGA) manages export procedures and compliance.
• The Mongolian Meat Association (MMA) and Mongolian National Chamber of Commerce and Industry (MNCCI) provide support and advocacy for the sector.
• Legal and Regulatory Framework: The government has implemented policies to support commercialized livestock production and export, but these need to be more effective and aligned with international standards.

Identified Gaps and Strategic Recommendations

Key Gaps

1. Herder Level: Limited access to financial services, poor communication infrastructure, and low livestock quality due to overgrazing and climate change.
2. Middleman Level: Inefficient coordination and lack of transparency in the market.
3. Company Level: Need for better infrastructure, modern processing technologies, and quality control measures.
4. Supporting Institutions Level: Weak coordination and limited capacity in disease control and regulatory support.
5. Framework Conditions: Inadequate policies to address environmental sustainability and export facilitation.

Strategic Recommendations

• Short-term actions:

  • Improve communication infrastructure in remote areas.
  • Expand livestock insurance programs to protect herders from financial risks.
  • Enhance disease control measures, especially for foot-and-mouth disease.
  • Streamline export procedures and reduce bureaucratic delays.

• Medium-term priorities:

  • Promote sustainable pasture management and reduce overgrazing.
  • Support the development of modern processing facilities and technologies.
  • Encourage collaboration between herders, middlemen, and processors to improve efficiency.
  • Strengthen regulatory frameworks and ensure alignment with international standards.
  • Increase the number of herders with access to formal financial services.

Conclusion

Mongolia's meat export sector is at a critical juncture, with growing demand from international markets and increasing efforts to commercialize the industry. However, the sector is constrained by environmental degradation, price volatility, and inefficient regulatory and logistical systems. Addressing these issues through targeted policy interventions and improved coordination among stakeholders is essential to enhancing the competitiveness and sustainability of the meat value chain.