Chicken, egg prices may go up due to soaring production cost

Anvita Srivastava
Sunday, 7 July 2019

“Currently, a farmer gets price of Rs 4.30 per egg and there are chances of five to 10 per cent hike in 15  days. If immediate and serious measures are not taken regarding maize import on priority, maize prices will continue to rise and might increase the price of eggs and chicken which will create havoc,” said Sham Bhagat, Chairman, National Egg Coordination Committee (NECC), Pune. 

Pune: With low inventory of maize and uncertainty about the Kharif production due to the increased infestation of Fall Army Worms (FAW), it has become difficult for the poultry industry to sustain. The prices of chicken and eggs are likely to go up in coming days due to the soaring cost of production.

“We are already have low inventory of Maize so the biggest challenge in front of the poultry industry is to sustain till November this year, till new maize of kharif production arrives. The cost of production will increase. However, with the infestation of FAW, we are unsure that what will be the production of maize, therefore, there is crisis looming in the poultry industry,” said Deepak Chavan, Agriculture Market Expert Calling FAW as a threat, Chavan further said, “FAW is becoming a major threat to country’s feed and food security as it will affect the maize crops which might result in high eggs and chicken prices. It is a threat to our protein security and will contribute in food inflation, as its raw material maize already quoting all time high rates because of production cut due to drought.”

“Currently, a farmer gets price of Rs 4.30 per egg and there are chances of five to 10 per cent hike in 15  days. If immediate and serious measures are not taken regarding maize import on priority, maize prices will continue to rise and might increase the price of eggs and chicken which will create havoc,” said Sham Bhagat, Chairman, National Egg Coordination Committee (NECC), Pune. 

Bhagat further said, “Farmers are not able to afford the increasing the cost of production with maize touching sky high. Due to FAW, if the kharif production of maize suffers, the cost of production for farmers will increase and they are already shutting and in the future, will continue shutting more if the crisis continues. This will further reduce the supply of eggs and if demand remains constant, it will affect the prices of eggs and chicken.”

“More than 60 per cent of maize is used in poultry feed so if there is an increase of Rs 2 in maize price, the poultry feed also increases by Rs 1. If not immediately but if due to FAW kharif production of maize get impacted, the effects can be seen on poultry during December and January,” said Dinesh Bhosale, Poultry Feed expert.

“Due to drought, there was less production of maize so if this stock continues reducing till the time new Kharif production comes, the cost of production will continue increasing hitting the poultry industry, However, with FAW, we are already worried about the Kharif production of maize,” said Ramesh Pude, a broiler farmer from the city. 

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