Print Edition - 2015-04-25 | MONEY
Chicken prices drop on plentiful supplies
Apr 24, 2015-
Chicken prices in the Kathmandu valley have dropped Rs15 per kg over a week due to increased supplies. The popular meat product now costs Rs275 per kg, down from Rs290 per kg last week.
Similarly, the procurement price of chicken has dipped to Rs180 per kg from Rs190. Chicken prices usually fluctuate wildly based on the supply and demand situation. The Nepal Chicken Sellers Association (NCSA), which fixes prices after studying the supply and demand, set the new rate citing a rise in supply.
“Farmers from various parts of the country have been sending plenty of chickens with a rise in production,” said Shreeya Dhakal, vice-president of the NCSA. He added that the output had soared 30 percent over the month due to climatic conditions. Chicken breeding usually speeds up in the summer season and the mortality rate is lower due to favourable temperatures.
“Many farmers across the country have reported a rise in production,” added Dhakal. In contrast to the seasonal rise in output, people have a tendency to eat less chicken in the summer, sending down demand 10-15 percent, said traders. “Demand from party palaces and restaurants is stable although the marriage season is going on,” said Dhakal. According to the association, the daily consumption of chicken in the Kathmandu valley is estimated to be 250 tonnes.
There has been a significant rise in shipments from major bulk suppliers in Sindhuli, Gorkha, Dhading, Hetauda, Nawalparasi, Bara, Parsa, Birgunj, Nuwakot, Sindhupalchok, Rupandehi, Dang, Janakpur, Kavre and Bhaktapur, according to the NCSA.
Chicken prices have been declining since reaching a high of Rs350 per kg in February which traders attributed to low production due to cold weather, load-shedding and LPG shortages. The average retail price of chicken has dropped 22 percent in two months.
“Until two months ago, farmers were suffering losses due to high mortality and slow production in the winter season,” said Dhakal. Traders said that prices were unlikely to go down further as the marriage season is going on. “As prices fall, consumption is expected to increase in the coming days,” added Dhakal. Meanwhile, the price of eggs has remained stable at Rs310 per crate.
Published: 25-04-2015 09:11