It sounds like a paradox in a hot-zone country, but this story in Daily Times explains why Chicken rates reach record level. Excerpt:
Chicken meat demand has sharply decline in wholesale and retail markets of Karachi after its rates touched the record high levels of Rs 205 per kg, traders said.
The unprecedented rise in chicken rates was attributed by the traders to prevailing massive demand and supply gap in the market pushing its prices beyond the purchasing power of common consumers.
“An overwhelming majority of consumers are finding it difficult to cope with the enormous increase, which has fast spiraled out of their purchasing capacity,” claimed a major poultry industry trader.
Chicken live birds are currently priced at Rs 110-112 per kg in the wholesale markets while in the retail, it is available at Rs 113-115 per kg. Representatives of Poultry Association told Daily Times on Monday that the emerging situation owing to discovery of deadly H5N1 bird flu virus in some of Karachi’s poultry farms about two and half months ago is the main cause of shortage of supply.
At that time, due to virus scare, the chicken meat demand had plunged sharply as the people had stopped its consumption, which spelled financial disaster for the traders and farmers. According to poultry the traders suffered an estimated loss of Rs 6 to 7 billion since then posing serious financial hardship to them.
Abdul Maroof Siddiqui, convener of Karachi Wholesalers Poultry Association, informed the reporter that after suffering massive monetary losses and unable to sustain further losses, more than 40 percent of the owners of poultry farms located in areas of Dhabjee, Pipri, Hub Chowki, Gharo, Thatta, Mirpurkhas, Dunba Goth, Nooriabad and super highway closed down their trades.
Moreover, a large number of traders avoided hatchery process for the fear of further financial losses and in view of that the supply has declined. Siddiqui said prevailing situation is clearly indicative of the fact that short chicken supply from farms is the major cause of shortage of the chicken meat sending its prices up at the record level.
He said despite extremely high price of the chicken meat, major buyers including caterers are buying it to fulfill orders of marriage halls, fast food restaurants, road side and five start hotels. Demand from the household consumers has plunged by more than 50 percent since the upsurge in price.
Recent Comments