A SHARP rise in demand during Ramadan, combined with global repercussions of the Covid-19 pandemic and a subsequent hike in logistics costs have led to an increase in the prices of poultry, according to a company executive.
According to Delmon Poultry chief executive Abdulhadi Mirza, a 30 to 35 per cent surge in the price of chicken feed and logistics has led to increases in the cost of locally produced chicken.
“The cost of hatchery eggs has also increased but we have shouldered the burden taking into account the financial burden on society,” he told the GDN yesterday.
“We are ensuring that our chickens are the cheapest in the market.”
Conflict
He said prices of locally produced chicken have increased by around 5-7pc – amounting to around 50-60fils per kg.
The conflict between Russia and Ukraine has also severely impacted the sector.
“Both Russia and Ukraine are exporters of grains such as wheat and yellow corn and the war has led to a scarcity in supplies,” he added.
“This has resulted in an increase in the prices of raw materials.”
According to Mr Mirza, his company faced an unprecedented demand for fresh chicken during Ramadan, following which production capacity was increased to around 30,000 to 31,000 a day.
He indicated that bulk buying and storing had impacted quantities in the market, but reassured customers that ample supply was available as production is continuing at a steady pace.
The GDN previously reported that imports of wheat from Black Sea ports had slowed following shipping blockades since the onset of the war as Russia and Ukraine produce about a quarter of the world’s wheat.
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