In the last 10 days to December 29, India's broiler chicken prices leapt strongly to nearly 40%, as a result of popular demand in the Christmas and New Year seasons, the Economic Times reported.

From Rs 65/kg (US$0.98) on December 18, the average price for farm gate chicken rose to Rs 90/kg (US$1.36) by December 28. In Mumbai, chicken sales spiked to about 8-10 lakh birds per day, from a previous 5-6 lakh.

Although chicken demand is usually expected to swell by 30% to 35% in cities during the year-end holidays, the situation for 2015 is different, with prices rocketing suddenly due to falling output, said P.G. Pedgaonkar, deputy general manager of chicken processor, Venky's.

Demand was apparently lifted by declining chicken numbers in north India which was affected by a cold wave, and lower productions as farmers coped with six-month long of losses caused by weak demand and costly raw materials.

According to Pedgaonkar, the lowest farm gate price plunged to Rs 45/kg (US$0.68), leading to losses of Rs 25/kg (US$0.38) for farmers.

The recent price spike could help farmers to recover production costs in the current financial year. But that is only possible if prices stay at about Rs 75/kg (US$1.13) for three months, said Vasant Kumar Shetty from the All India Broiler Co-ordination Committee.