Fiji imposes 12% poultry price mark-up

Both Fiji's Ministry of Trade and the Prices and Incomes Board have confirmed that a 12% maximum mark-up on wholesale chicken remains in force for all retailers.

This follows last week's announcement of the staggered removal of wholesale price control on chicken - part of an agreement between the poultry industry and the government.

As part of the nine-month agreement, factories will eventually be able to charge 11% more for wholesale chicken. Wholesale chicken prices will rise by 5% on May 17, followed by a 2% increase three months later; another 2% rise six months later and a final 2% more at nine months.

PIB deputy secretary Lusi Naimawi stressed that the mark-up for retailers would continue to be 12% on all local chicken products, be it whole birds or chicken pieces.

These samples were highlighted where some supermarkets were charging significantly more than factory prices for chicken products. For example, the ex-factory VAT inclusive price of chicken breast according to PIB figures is US$7.03 a kilogramme. However, one supermarket last week was retailing the product for US$9.39 a kilogramme, a figure that's 33.5% higher than factory price.

Ms Naimawi said PIB would look into the issue. Restaurant owners and fastfood outlets are now contemplating raising the price of chicken dishes.

Crest Chicken general manager Shaun Joils said consumers were also welcome to buy chicken at the factory at wholesale prices, negating the need to foot any retail mark-up.