Date:12/05/2008 URL: http://www.thehindu.com/2008/05/12/stories/2008051258850300.htm
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Tamil Nadu

Chicken prices fly over the head

M. Gunasekaran

‘It is consumption not inflation that is jacking up prices’

Photo: M. Balaji

Samiappan of Kevetti Rangan Pudur, near Pongalur, in Coimbatore district. –

Tirupur: Price of chicken is hovering around Rs. 100 a kg in the last six weeks.

While many believe it is an outcome of inflation and general price rise, the poultry industry says it is only a normal rise because of increase in consumption. “There is a slight increase in prices and consumption has gone up because of summer vacation,” say sources in the poultry industry.

Farm gate price

The farm gate price is Rs. 52 a kg.

The production cost comes around Rs. 35 a kg. Based on demand, the price of chicken varies.

Industry sources say that price of maize, an important ingredient for poultry feed, plays a crucial role in production cost, thus selling price.

Cultivation of maize

As there has been a shortage in the cultivation of maize in the State, the industry depends on supplies from Karnataka, Andhra Pradesh and Maharashtra.

Transportation

The transportation cost adds up to the overall cost.

“Whatever be the selling price, there is no change in our income,” says Samiappan, a small-scale poultry farm owner in Kavetti Ranganpudur, near Pongalur, in Coimbatore district.

He grows birds supplied by major poultry owners for 40 to 45 days. The major poultry farms also supply feed and medicine. They buy the chicken after 40 days.

These small-scale poultry farmers get Rs. 2.50 a kg as growing charge against the Rs. 2 a kg some years ago.

Mr. Samiappan grows 4,500 birds and earns more than Rs. 10,000 each four times a year.

Whatever be the farm gate price, there is no change in growing charge.

The retail shop owner has to bear the weight loss after cleaning.

‘Reasonable profit’

Every one from the hatchery owner, poultry farm owner to the retailer makes their own ‘reasonable’ profit depending upon the demand, industry sources say.

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