Stung by losses incurred last year in the goat business, Nepal Food Corporation has given up on the idea and said it won´t be there selling goats during the festival seasons later this year. Last year, a large number of goats procured by NFC were reported to have died during their transportation, causing the corporation a heavy loss.[break]
However, Animals Traders´ Association (ATA) has expressed confidence of being able to supply the required number of goats during the festival season, especially Dashain. It has promised to keep the supply normal in the Kathmandu valley and its vicinity. ATA officials said NFC decision to stop selling animals won´t make any difference to the local consumers.
NFC has recently announced to halt the selling of goats from this Dashain following huge losses in the business last year. According to officials, NFC faced a loss of Rs 3.6 million in goat trade during last Dashain.
"As we are prepared to meet the demand of goats, we won´t let any crisis to hit the supply. We can manage adequate supply from local and India markets," said Deepak Thapa, chairman of ATA. He said ATA officials have been communicating with local suppliers to for additional supply for the festival season.
Since NFC could sell only around 4,000 animals during Dashain, its decision to discontinue supply won´t make any difference, sources said.
"If necessary, we are in a position to ensure additional supply to meet the local demand," said Thapa.
According to ATA officials, Dashain sees the demand of around 60,000 to 65,000 animals including around 40,000 to 45,000 goats and around 15,000 mountain goats and sheep.
As of today, a goat is being traded at around Rs 270 to Rs 185 a kg as per the quality while a kg of mutton is priced at Rs 550.
Thapa said the valley receives about 40 percent of animals from local markets while a big chunk of the demand is met by imports Indian markets.
"We are trying to bring down the proportion to equal and therefore we are asking the local suppliers to increase their supply," said an official at ATA. He added that ATA has been trying to shore up local supply from Surkhet, Salyan, Kohalpur, Ramechap, Chitwan, Nuwakot and Janakpur, among others during Dashain this year.
Thapa however cautioned, "If local traders failed to supply the desired number of goats, the price of mutton may go extremely high.
"If Indian goats dominate the local market, a live goat will be traded at around Rs 400 per kg," said Thapa. "But, if the local suppliers keep the supply normal, it will be traded at Rs 300 per kg."
A mountain goat and sheep will be traded at Rs 240 and Rs 260 per kg during this Dashain, he estimated. At present, ATA has been supplying around 1,000 to 1,200 goats per day to meet the local demand.
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