Skyrocketing prices of chicken, eggs during Ramadan

The rising cost of chicken and eggs in Bangladesh is a cause for concern for consumers of every spectrum of society. According to recent reports, the production cost of chicken and eggs has skyrocketed, leading to an increase in prices at the retail level. While this trend has been observed in other countries as well, the impact of the rising prices is particularly significant, given the country's reliance on these commodities as affordable sources of protein.

Several reasons have been cited by the traders behind the rise in production costs of chicken and eggs. One major factor is the increasing cost of animal feed, which is a critical input in the poultry industry. The prices of key ingredients such as corn and soybean meal have surged in recent months, mainly due to global supply chain disruptions caused by the Covid-19 pandemic and immediately followed by the Ukraine-Russia war.

Another factor contributing to the high production cost is the rising cost of energy, particularly electricity and fuel. The poultry industry is heavily dependent on electricity, which is required for maintaining temperature and ventilation in poultry farms. The recent increase in energy prices has further added to the already high cost of production.

The government's policy on import duties and taxes on inputs used in the poultry industry is also another area of concern. High tariffs on inputs such as vaccines, antibiotics, and other medicines make it difficult for local producers to compete with imported products.

The impact of the rising prices of chicken and eggs is felt across the board, from individual consumers to restaurants and hotels. While some consumers may be able to adjust their diets and switch to alternative sources of protein, such as fish and lentils, others may struggle to afford even basic food items.

This newspaper run a report yesterday stated that chicken is 54 per cent costlier before the holy Ramadan. Quoting Bangladesh Poultry Farm Protection National Council General Secretary Khandaker Mohsin, the report stated that the price of poultry feed has increased due to various reasons. At the same time, utility costs have also risen. That’s why the chicken price hike has become necessary, they claim.

After causing panic among consumers for two days, the price decreased slightly on Wednesday (March 22) but it’s still out of reach for many. However, the price of Sonali breed and locally bred chickens remained the same. Sonali chickens were sold at Tk 360-370 per kg in small and large kitchen markets on Wednesday and locally bred chickens at Tk 580-600.

It has been alleged that some unscrupulous traders took advantage of the increased demand and pushed up the prices. The price of farm eggs was also up. A dozen eggs now cost customers Tk 140-150 — which was Tk 130-135 a few days ago.

Traders admitted that the retail market has suddenly become volatile ahead of Ramadan but it will hopefully return to normal after a week as the demand for chickens will drop with hotels and restaurants remaining closed during the month of fasting.

To address this issue, the government and the poultry industry must work together to find solutions that can help reduce production costs. This may involve exploring alternative sources of animal feed, investing in renewable energy, and revising import tariffs and taxes to reduce the burden on local producers.

The rising cost of chicken and eggs in Bangladesh is a cause for concern and requires immediate attention from all stakeholders. The government, the poultry industry, and consumers must work together to find sustainable solutions that can help bring down the cost of production and make these essential commodities more affordable for all.