January 13, 2010

Philippine chicken prices seen to drop in February

The Philippine Association of Supermarkets Inc. (PASI) expects chicken prices to drop 5% next month as supply increases.

Current suggested retail price (SRP) of whole chicken is PHP130 (US$2.84) per kg, and a reduction of 5% would bring the price down to PHP123.5 (US$2.7) per kg.

The rationale of this is that chicks will be fully grown and ready for sale by February, said Federico Ples, secretary general of PASI.

Ples said there is currently a shortage in supply of whole chickens, with available chickens in supermarket mostly being in quarters. Despite so, there is no increase of chicken prices.

He said that the reduction in the chicken price will be gradual. The 5% decrease will occur by mid-February, with more downward adjustments later due to abundant supply.