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Big cos ripping off poultry farmers, consumers with profiteering

Alleges Poultry Association


FE REPORT | August 20, 2024 00:00:00


The Bangladesh Poultry Association (BPA) on Monday alleged that a few big companies are dominating the poultry market, siphoning off an additional Tk 59.20 billion in profits through syndicates operating in the feed and chicken sectors.

This situation has severely impacted marginal farmers, forcing many to shut down their farms. Also, consumers are being deprived of products at reasonable prices, said the association leaders at a press conference in the city.

Presenting a paper, BPA President Suman Hawladar highlighted the significant price disparity in the poultry market between Bangladesh and neighbouring countries such as India, where the cost of production is much lower.

"In India, the price of feed is Tk 40-50 per kg, day-old chickens are priced at Tk 25-35, the production cost of an egg is Tk 5, and broiler chicken costs Tk 76-86 per kg, depending on the season," he said.

But in Bangladesh, poultry feed is priced at Tk 60-72 per kg, and day-old chicks (DOCs) range from Tk 60-100. The production cost of an egg is Tk 10.29, while broiler chicken costs Tk 155-170 per kg and Sonali chicken is priced at Tk 240-260 per kg, Hawladar said.

"As a result, farmers are incurring losses of up to Tk 40-60 per kg of chicken," he said.

The BPA President said the annual production of animal feed in the country stands at about 8.0-8.7 million tonnes.

He claimed that the syndicate is generating an additional Tk 40 billion in profits annually, while farmers and consumers bear the burden of inflated costs.

Hawladar also noted that despite a decrease in the price of feed materials in the international market during 2022-2024, prices in Bangladesh have inexplicably risen, further exacerbating the crisis for local farmers.

To address these issues, the BPA presented a seven-point demand aimed at supporting marginal farmers and ensuring fair prices for eggs and meat.

The demands includes providing collateral-free loan facilities for poultry traders and farmers from banks, and setting the maximum retail price of day-old chicks (DOCs) at Tk 30-50.

It also called for pricing all types of poultry feed between Tk 2,500 and Tk 3,000 per 50 kg bag.

The association also called for a review of the contract farming and commercial egg and chicken production by corporate groups, and issuance of ID cards for all poultry traders and farmers by the Department of Livestock Services.

BPA Vice President Bappi Kumar Dey and its General Secretary Md Ilyas Khandker were present at the press conference.

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