December 5, 2007

Indian government urged to regulate corn exports

India's National Egg Coordination Committee (NECC) asked the government to regulate corn exports.

Anuradha Desai, the chairperson of NECC, urged the Indian government to allow corn exports only through government-owned agencies because private players and middlemen were exploiting the market.

Corn prices are ruling above US$17.74 per kilogramme. 

The poultry industry, which consumes more than 65 percent of the total corn production in the country, recently witnessed a rise in the cost of production. 

In the last three years, the production cost for 1 kg of chicken has risen from US$0.70 to US$0.93, Anuradha said.

The increase in corn prices prompted high chicken prices, as the poultry industry depends heavily on corn, the NECC states. 

Rising input costs could result to poultry farmers reducing their production in the midst of consumption peak period for chicken and eggs (December-January).