Daijiworld Media Network – Mangaluru (MS)

Mangaluru, Aug 12: Poultry business in Karnataka has been hit greatly by the rate of broiler chicken that has fallen drastically in outstation states.

In Maharashtra, a kilo of broiler chicken is sold between Rs 60 to 80. Due to rains, the suppliers could not send the chickens to other states and sell them there itself. In addition, the month of Shravan has also given a big jolt to the industry as many people do not eat chicken during this month.

While the demand for chicken is down, the supply has doubled. Market experts say that due to the increase in prices of the raw materials required for the poultry industry, chicken needs to be kept for more days in order for them to gain weight and make profit.

In 2019, the production cost of a kilo of broiler chicken was Rs 72. Now it has gone up to Rs 105. Many have stopped poultry business for the same reason.

The annual turnover of Karnataka in the poultry industry is Rs 10,000 crore. Around 11.5 lac chickens are produced every day which translates to more than 42 crore of broiler chicken per year.

The rate of broiler chicken is Rs 110 per kg at Mangaluru while it is Rs 130 in Bengaluru, Rs 120 in Mysuru and Rs 105 at Shivamogga.

Dr Sushant Rai, president of Karnataka Poultry farmers and breeders association said, “This type of rate slump is seen for the first time this year. Many poultry businesses have closed down. The rate drop in outstation states and increase in prices of raw materials are the main reasons for this devastating effect on the poultry industry.”

The production cost in the poultry business is Rs 105. In the retail market, chicken is being sold at Rs 110. This means that an entrepreneur is losing Rs 40,000 on investment of Rs 1 lac according to information provided by Vincent Cutinha, owner of Ideal Chicken.