Jul 22, 2019

Middle scale poultry businesses in jeopardy Featured

Due to just six large scale poultry producers, around 7000 poultry farmers are facing grave hardships, the small and medium scale breed broiler producers association said.

They leveled allegations against the Prima, Bairaha, Pussellawa, ICC, Midland and Nelna farms.

It is reported that these farms produce around 1.6 million kg of chicken per months way over the requirement of 1.2 million kg.

It is also alleged that Pussellawa which has obtained tax concessions for almost 50 years is required to export 80% of its chicks production, they are violating the regulations and releasing the chick production to the
local market.

The large scaly poultry produces operate close house farms and produce chicken, making it hard for the small and medium scale poultry farmers to survive in the market.

It is these same large scale poultry producers that import the parent birds and they themselves produce the chicks. In addition another 34 medium scale poultry parms produce the chicks.

According to the President of this association A.D.T. Hemantha, due to the overproduction of chicken and eggs by the large scale poultry farms, the small scale poultry farmers are facing the threat of their businesses being
closed down.

As the annual consumption of chicken per person is around 9 kg the annual chick production requirement is around 149 million chicks. However, these companies produce around 155 million chicks.

According to the Association, it costs around Rs. 230 to produce a kg of chicken.

However, they claim that the small scale farmers are unable to sell their chicken for even Rs. 200-220. Yet the consumer purchases a kilo of chicken at over Rs. 400.00.

Therefore, they claim that if this industry is not regulated, the small and medium scale poultry farmers will face a huge crisis.