Hatcheries raise the price, poultry farmers cry badly

Poultry farmers have sought government intervention against the "arbitrary" rise in chick prices by hatcheries.

In filing a memorandum today with the Department of Commerce, Supplies and Consumer Protection, the Poultry Farmers Committee demanded that the government take action against the black marketing of chicks.

The appeal came when the Nepal Hatchery Industry Association destroyed six million eggs in a 10-day period two months ago in protest against the government for not raising the price of chicken on the market. Soon after, the price of chicken had risen to Rs 450 per kg from Rs 240 per kg.

However, poultry farmers claim that they are not getting the price of chicken in line with rising market prices.

In addition, industries have also doubled the price of chicks from Rs 35 to Rs 70 per unit.

According to Bishnu Khadka, the committee's coordinator, NHIA increased the price of the chick by Rs 30 per unit in one week.

According to him, the price of the chick increased by five rupees per unit on January 24 to 40 rupees per unit.

The following day, NHIA set the price of the chick at Rs 50 per unit.

Then on January 28, the association sold chicks at Rs 60 per unit to farmers and again raised the price to Rs 70 per unit on February 1.

Meanwhile, NHIA has set the price for live chickens at Rs 243 per kg, but pays farmers only Rs 230 per kg, Khadka added.

While we haven't been paid at market price in a long time, hatcheries have increased the price of chicks again, which is not reasonable at all, he said.

He added that poultry farmers were at risk of bankruptcy.

The committee has accused hatchery industries of making a profit of Rs 105 million in a week by simply selling chicks to farmers and suspected links between the government and hatcheries.

However, Rishi Ram Poudel, NHIA's central vice president, said hatcheries were able to recoup the losses they had suffered for many years with the recent price increase.

"The sale price of the chicks is 20 rupees more in the valley compared to the out-of-valley fee due to the distributors' supply charge," he explained, arguing that the price increase was reasonable.

Saying that hatcheries have been receiving the wrath of both farmers and the government, he said: If the government can set a reasonable price for poultry products, we are ready to follow through on their decision.

Meanwhile, Netra Prasad Subedi, CEO of DoCSCP, refuted the claim that the government favored any sector.

She added that the department was investigating the problem and would soon take action against violators.

Million of investment loss in poultry sector of nepal due to lockdown.

Poultry entrepreneurs in the Tanahun district are facing a crisis due to the government-imposed blockade to minimize the spread of COVID-19. According to poultry farmers, the lack of grain for the poultry sector has affected production and the blockade has affected sales of poultry products. Most of the district's farmers have sold their chickens at heavy losses.

Krishna Prasad Pudasaini, a local poultry farmer from Yamphat, Bandipur has 3,000 broilers on his farm. He had raised those chickens for 60 days, but due to the closure, it has become difficult for him to sell them. According to Pudasaini, he has sold the hens for Rs 90 per kilogram by enduring large losses, since he has not required grains to feed the hens.

Chickens have started to die from starvation. They cannot all be put on the field. It is better to sell them bearing losses rather than seeing them in this condition, Pudasaini said. Before the blockade, Pudasaini had sold chicken from Rs 175 to Rs 260 per kilogram. Pudasaini is also a supplier of chicks and grains and faces a loss of Rs 1 million due to the blockade.

 The market is closed. After the closure began, grain producers stopped providing grain on credit, Pudasaini said. Suppliers have not collected the chickens and we are forced to sell for a loss.

Poultry farmers raising laying hens for egg production also face a similar financial crisis due to the blockade. According to Madan Thakuri, owner of Thakuri Poultry Farm, he has been forced to store eggs on his farm for the past two weeks. Three years ago, Thakuri had quit his job abroad to start poultry farming in his country. He has 5,500 chickens on his farm.

 Chicken grains are bought after I sell the eggs. But eggs don't sell, so I can't buy chicken grains right now. In this situation, it is difficult to raise these chickens, Thakuri said. According to Thakuri, his Rs 8 million investment is at risk and the eggs cannot be stored for a longer period as the weather warms up. Eggs will rot if stored longer. It is difficult to get them to market due to the blockade, Thakuri said.

Tanahun farmers raise local chickens, layers and chickens on their farms. Due to the closure, all meat shops, hotels, and restaurants in the district are closed.