27 September, 2010
Floods cause Indian poultry prices to drop
The prices of poultry in north Indian cities has fallen due to a surplus of poultry stocks held by farmers after a period of flooding.
With flood water entering into many parts of rural Uttar Pradesh, Haryana and other northern states, poultry farmers in the states, who were earlier holding on to their stocks in expectation of rise in demand during the coming festival season have started to sell-off their birds because of fear disease outbreak.
As a result, poultry prices have taken a beating in north Indian cities. Traders fear that if prices continue to fall like this for the next few days, it could harm the growers, who were expecting a good profit this year. Wholesale price of live weight broiler in Delhi has declined to INR48 (US$1.07) per kilogramme on Sunday from INR56 (US$1.24) per kilogramme a week back.
At the same time the retail prices of dressed broiler has declined to INR130 (US$2.89) per kilogramme from INR140 (US$3.11) per kilogramme just two weeks back.
"There is some kind of rush among farmers to sell their stocks as there is possibility of outbreak of diseases because of floods," said Ricky Thaper, treasurer of the Poultry Federation of India.
Meanwhile, incessant rains in the North have also pushed up egg prices. Namakkal-based National Egg Coordination Committee (NECC) has recently increased the prices to INR2.35 (US$0.052) a piece from INR2.30 (US$0.051).
Egg prices are set to rise further, a NECC official said.
Thaper of PFI also said that the consumption of poultry meat would increase in the coming winter months as poultry meat is preferred and production is also lowest for chicken. India is the world's fifth largest broiler producer.
