Price of chicken in Pokhara is 15 percent higher than the market prices in Kathmandu and Chitwan.[break]
Consumers said traders have formed a cartel and imposed ban on import of poultry products from other districts to raise the prices. “Chicken has become dearer in Pokhara due to ban on imports. If traders allow poultry products of other districts to enter Pokhara, the price would come down on par with other major cities,” said Surya Bhujel, president of the Pokhara chapter of Restaurant and Bar Association Nepal (REBAN).
“The traders have imposed ban on imports saying that local productions will be sufficient to meet demand in the market. The price would come down if they lifted the ban.”
Bhujel told Republica that restaurants in the lake city alone consume about 500 kg of chicken in a day.
However, meat traders say the ´cartel´ alone was not responsible behind price hike. “I agree that the cartel exists. But it is not the only reason behind price hike,” Thakur Paudel, president of Mutton and Chicken Traders Association, Kaski, said. He argued that the association had not imposed ban on poultry imports.
“Poultry products are expensive in Pokhara because of high transportation cost, high rent and labor costs. Also our products are of high quality as we sell chicken only after removing fat, neck, wings and liver,” said Paudel.
Traders say they lifted ban on poultry imports after poultry entrepreneurs in Chitwan threatened to stop feeds supply if the ban on imports is not lifted.
“Traders are free to import poultry products. We are not in favor of market cartel,” Paudel said, arguing that their intention was to encourage local farmers and not cheating consumers.
According to the traders, local production meets 70 percent of poultry demand in the lake city.
Kapil Koirala, president of Consumers Forum, Kaski, said the traders were cheating consumers in the pretext of providing quality products. “Everyone knows the main reason behind high price is the ban on imports,” Koirala added.
Chicken is currently selling for Rs 230 per kg. There are around 300 meat shops in Pokhara.
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