June 10, 2011

US poultry farmers need urgent change before prices rise

US poultry growers maintain that if certain changes aren't made in their business, poultry store prices are likely to rise.

Farmers banding together are trying to negotiate with their companies for a US$0.01 increase with each pound of chicken they produce.

They say it could help keep farmers in the area and keep chicken from becoming too expensive.

Dale Reeves, a poultry grower in Mount Solon, says many farmers are going through tough times.

Competition is down because of the George's and Tyson deal, and the price for gas and corn feed remains at high levels.

As a result, Reeves says poultry growers are in a desperate need of a pay increase. The US$0.01 boost could lead to more than US$10,000 of extra income per year.

Reeves says that if they don't get the increase, poultry farmers might leave the Valley in the long term, which could lead to drastic changes.

"Theeconomywould suffer greatly if there wasn't a poultry industry here in the Valley. Things would change dramatically. The chicken could be grown and produced somewhere else, but the consumer is going to be paying a lot more for that chicken when someone hauls it in here from a thousand to 1,500 miles," Reeves explained.