Poultry farmers call for open market rates to save ‘crumbling industry’
OKARA: During the lockdown, like other businesses, the poultry industry has suffered more than 40pc loss in its investment as per kg chicken meat rate stood stilland hundreds of controlled shed farmers have been forced out of the business.
During Ramazan, the Punjab government had unjustifiably pressurised the poultry farmers by capping the rate despite a rise in poultry input cost whereas Khyber Pakhtunkhwa and Sindh have let the market function on demand and supply mechanism. Punjab poultry farmers are suffering despite the fact that they send supplies to Azad Kashmir and Gilgit-Baltistan besides the KP.
This was stated by Pakistan Poultry Association (PPA) Punjab chapter president and Broilers Farms Association (BFA) Punjab President Rana Ghulam Sabir while briefing this correspondent on the details of the current situation of the sector that, according to him, is on the verge of collapse in the province due to capping of the chicken rate.
He says chicken meat is not an essential item and it’s unfair on the part of the government to put a price cap on it.
Sector witnesses 40pc loss in investment during lockdown
“If the situation continues, 1.5m people directly attached with the 7,000 controlled sheds, including 900 in Okara district, would lose jobs. Besides the regular workers, nine daily wagers are engaged by each shed on the average, which makes 63,000 daily wagers dependent on the industry besides hundreds of veterinary doctors.”
Mr Sabir thinks the steps like fixing rates would force such poultry farmers as are struggling to remain in business out of the business and if that happens, chicken meat would not be available at Rs500 per kg after next 10 to 12 weeks as the remaining poultry farmers would also be unable to put new chicks for more flocks.
“The trickle-down effect would reach the agriculture farmers growing crops like maize, paddy and sorghum used in poultry feed. Two main feed ingredients, corn and soya, being imported from Argentine, Brazil and America and poultry medicine involve more business. All these businesses are being affected badly.”
Pointing out another issue, the PPA Punjab president says the 10 big feed millers of the country wished the low price of the local crops, the ingredient of the poultry feed, and the government, instead giving relief to the poultry farmers who suffered heavy losses, has given relief to these big feed mills by deferring their loans for one year and cutting interest rate from 14 to 8pc.
“These big millers faced no loss of their per bag feed as they had been supplying feed against cheques, pronotes and property deeds as surety bonds from the controlled shed farmers.”
Mr Rana clarified the poultry birds and meat can’t be hoarded so the farmers are bound to sell them and in the hot weather, the mortality rate per flock reaches 20pc of the total shed. He urged to the government to go for the open market mechanism instead of capping the rates.
“The daily market price rate has a regular mechanism according to the demand and supply and the broker/traders have the basic role in daily market price declaration.”
He dispelled the impression of the public as well as the government that consider shed owners as a cartel, which exploits the situation by changing the daily market rates in its favour.
The view of PPA Punjab president were endorsed by poultry farmer Chaudhry Aamir Razzaq who also urged the government and all other stakeholders like mills owners, feed suppliers, farmers and traders to hold a comprehensive dialogue to save the poultry industry and the future of the people attached with it.
Published in Dawn, May 30th, 2020