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Poultry farmers in crisis due to steep feed prices

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Madhusudan Guragain/Republica A poultry farmer serves feed to chickens at a farm in Kavre on Wednesday.
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BANEPA, Feb 20: Poultry farmers are still forced to buy feed for their chickens at steep prices that were set during the Indian blockade. During the period, feed producers had increased prices of poultry feed. However, these prices have not shown any signs of coming even though supplies through the borders are returning to normal.

"The prices of raw materials for preparing the feed have returned to normal prices, as they were prior to the blockade. However, poultry feed producers have shown no signs of bringing prices of feed to normal rates," said Bhojraj Dahal, president of Nepal Poultry Farmers' Association.


"Poultry farmers are badly hit as they are forced to buy chickens' feed at very steep prices and sell chickens in normal prices that are very low," he claimed adding that the feed producers have neglected several pleas from their side for reviewing feed prices after the blockade opened. "During discussions and meetings they promise that they would think over the request. But, they have still not reviewed prices."

Prices of pulses and crops had soared dramatically during the Indian economic blockade. Starting September, food prices had hit people across the country for the last few months. During the period, one kg of soya bean would cost Rs 80 which now comes just for Rs 65. Similarly, corn price has gone down Rs 5 from Rs 15 during the blockade. "Despite such decline in the prices of raw materials used for producing the poultry feed, feed producers have not yet brought down prices of their produces," Dahal said.

Dahal said that none of the producers, even the one he is associated with, are willing to reset the prices. "I'm associated with Siddhartha Patel Poultry Feed Factory and even after several rounds of discussions they too are not willing to review the prices. Poultry farmers meet me every day and express their concerns over the issue," he said.

Poor quality of the feed produced is another issue that has been adversely affecting these farmers. Dahal said the quality of feed supplied in the local market has been very poor in comparison to what it was before the blockade. "The degrading of poultry feed is not an issue with just one producer. It's rampant through the industry. Every factory is compromising with the quality of poultry feed. This has affected the weight of broiler chickens," Dahal said.

Poor quality of the feed has directly affected the weight of the chickens, due to which their sales have been affected. "Even though chickens are kept for longer period and fed properly, they are not gaining right weight. How can poultry farmers cope with this recurrent loss then?"

Expressing anger over the reluctance of the feed producers, Dahal warned that the poultry farmers are not going to stay quiet over this if their concerns are not considered. "The mills are openly exploiting poultry farmers; it's height of their monopoly. We will not stay quite now," he asserted.

Farmers procure two types of poultry feeds - broiler and layers. These have different nutrition value. Dahal claims that the factory owners have been preparing poultry feed in much lower rate but are not willing to sell it in reasonable price. Both the price of broiler and layers types of feed needed to come at much lower rate by now.

"Farmers are paying around Rs 400 more price per one poultry feed bag. We procure the feed in huge quantity on daily basis. With such disparity between the prices, we are being forced to bear huge loss on daily basis," lamented Dhruba Dulal, a poultry farmer from Panauti, Khopasi.

Dulal is growing 4000 broilers in his farm which as per the current market price fetch him around Rs 250,000. But, by the time he sells them, he will have to invest equal amount for feeding them, leaving him with nothing in return.

Dulal, who's into poultry farming since two decades said that the high handedness of poultry feed mills is more evident when there's lack of competition between them. "When there are more mills, they are forced to lower the rate as soon as the rate of raw materials goes down. Or else, they can set price as they please," he said. He added that things were better in the past when there was no such syndication of the mills. "Earlier there were around 60 such mills in the district. Now, these numbers have come down to around a dozen. And these mills have jointly forced farmers to buy feed at prices they have set in consensus, setting a dangerous precedence of monopoly in the sector."

After Chitwan, Kavre is considered ahead in poultry farming. As per record, 3000 bags of poultry feed (150 ton) per day is consumed by chickens in the district. According to Dayaram Mahat, secretary of Nepal Poultry Farmers' Manch, the issue is due to the lack of implementation of law regarding poultry feed transaction. "The law came in existence in 1977. But the mills do not follow it. And the government has utterly failed in monitoring it," he said.



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