Why Thimphu shoppers are paying more for meat than they should

In a recent study by the Competition and Consumer Affairs Authority (CCA), it was found that meat prices in Thimphu are being set in a way that limits consumer choice. Although the government no longer regulates meat prices, most vendors in the city still follow a common price set by the Bhutan Meat Vendors Association (BMVA). On the surface, this might seem like a way to keep prices fair, but it could be doing more harm than good.

BMVA was formed to help control price hikes and ensure meat remains affordable. Today, over 90% of meat vendors in Thimphu are members. Even though joining the association is optional, nearly everyone sticks to its price list. That means no matter which shop one visits, the price of beef, chicken, pork, or fish is almost always the same. This system removes competition, which is important in any market because it allows vendors to offer better deals and encourages improvements in quality and service.

Some meat sellers have started to speak up. They say the fixed prices do not give them the flexibility to adjust based on their own business costs. Others believe the government should step in—not to fix prices again, but to help manage the root problems like supply and import costs.

One of the biggest issues is the huge jump in price from the moment meat is imported to the time it reaches the shop. For example, frozen boneless beef was brought in at about Nu 200 per kilo in 2023 but ended up being sold at more than double that price. Fresh chicken, fish, and other meats followed the same trend. Even in 2024, though the markups slightly dropped, they remained high. With only one slaughterhouse in the country and limited local meat production, prices stay high and supplies are tight.

The study recommends stopping the practice of price fixing by BMVA. Instead, meat vendors should be given training and support to set their own fair prices based on actual costs and market demand. At the same time, the government can play a big role in helping connect vendors with certified meat suppliers in nearby countries, which can improve supply and lower prices.

If vendors are allowed to compete fairly, shoppers will benefit from better prices, more choices, and improved service. Right now, fixed pricing may be creating more problems than it solves. Giving the market room to breathe and supporting small vendors may be the key to making meat more affordable for everyone in Thimphu.