Meat shop owners in Thimphu have raised concerns over what they describe as unfair business practices by the country’s sole beef supplier. They cite rising costs, excessive payment demands, and poor hygiene standards at the slaughterhouse. In a letter dated January 22, 2025, addressed to the Bhutan Chamber of Commerce and Industry (BCCI), meat shop owners called for government intervention to resolve these issues. They claim this situation has been going on for the last two months. The BCCI has since forwarded the letter to the Competition and Consumer Affairs Authority for further investigation.
According to the letter, meat shop owners have to source and transport cattle to the sole slaughterhouse in Tsirang, where slaughtering charges have risen from Nu 1,000 to 5,000 per cattle. The letter also alleges that there is a demand for an advance deposit of Nu 500,000 without issuing a written agreement or receipt, refusing to supply meat to those who fail to pay. Payments are strictly in cash, as digital and bank transactions are not accepted. Despite full payment, the supplier allegedly keeps the head, tail, legs, intestines, and skin of the cattle while charging a commission of Nu 50 per kilogramme on the meat sold. Shop owners further claim that the slaughterhouse issues two sets of receipts, one manipulated for tax purposes and another reflecting the actual amount they must pay, denying supply to those who refuse to comply.
Meat Shop Owner said “It was never like this before. The meat used to arrive on time without any issues. We paid the required amount, and the supply was steady. But now, it feels like a constant struggle. He demands large sums of money that most meat shop owners simply cannot afford, and as a result, I don’t even have beef in my shop.”
The meat sellers have also raised hygiene concerns, stating that cleanliness at the slaughterhouse is not maintained at proper standards. Despite these challenges, they say the quality of meat they receive is poor, with weak cattle and calves sometimes being supplied.
Meat Shop Manager said “Sometimes, we wonder if the laws and regulations simply don’t apply to him. I believe that if high-ranking government officials stepped in and addressed the issue directly, it could bring much-needed relief for us.”
Before the COVID-19 pandemic, imported meat cost between Nu 120 and 250 per kg. Now, shop owners sell it at Nu 550 ngultrum per kg, with prices reaching up to Nu 700 per kg. To address this, they have urged authorities to make changes to the supply of meat in the country.
Nobin Rai, President of Bhutan Meat Vendors Association said “To prevent a monopoly, we suggest establishing another slaughterhouse. Competition in the market would help lower prices. If that is not feasible, allowing meat imports from India again would be the best alternative.”
However, Penjor, the owner of the slaughterhouse in Tsirang defends the charges he imposes on the meat shop owners. He says that they are essential to safeguarding his business against the inherent risks associated with handling meat products. He also added that he has not charged anybody above Nu 100,000 as advance.
“When customers take the meat from our facility, the responsibility shifts to them. If the vehicle transporting the meat is involved in an accident or breaks down, resulting in the spoilage of the goods, the risk falls on them. That’s why I require an advance payment to mitigate such potential losses.”
As for the complaints regarding the hygiene at the slaughterhouse, Penjor said that are stringent hygiene and quality control measures in place to the highest standards for the meat he supplies. He points out that, throughout his years of operation, there have never been any complaints about the quality or safety of his products.
“We take multiple steps to guarantee the health and safety of the cattle before processing. First, the local Tshogpa inspects the cattle for any visible signs of illness. Next, the livestock office conducts a health check, including blood tests. Following that, Bhutan Agriculture and Food Regulatory Authority (BAFRA) carries out another inspection when we apply for the necessary certification. Finally, once the cattle arrive at our facility, we perform a final check. In total, we ensure the quality of the meat is verified four times before it reaches our customers.”
He also refuted the claims about issuing fake money receipts for tax purposes. As for the high meat prices, he said it is what the cattle owners are charging and he has no say or authority over it.
Meanwhile, the Competition and Consumer Affairs Authority has stated that the issue has been referred to the Consumer Empowerment and Economics Division for research and a comprehensive evaluation of the country’s beef supply chain.
Karma Samten Wangda
Edited by Yeshi Gyaltshen
