Broiler prices in India have reached record levels of Rs 75 (US$1.37) per kilogram not seen since 2011, according to reports. The price levels were brought on by a strong demand, higher feed costs and the arrival of winter.
Broiler meat production registered an 8.97-percent rise to touch 3.1 million metric tons in 2012 and is likely to grow an additional 8.23 percent to touch 3.4 million metric tons in 2013, according to the U.S. Department of Agriculture.
Rising feed prices that account for one-third of the cost of production are considered a major reason for the steady rise in prices, as a 75-kilogram bag of broiler feed cost Rs 2,702.50 (US$49.38) in 2012, compared to RS 1,894 (US$34.61) in 2011.
Meanwhile, egg prices are also rising, owing to pick-up in retail demand. The National Egg Coordination Committee has increased the price of an egg by six paise to Rs 3.40 (US$0.06).
Pick-up in consumption due to winter and a growth in demand from confectioners are attributed to the rise in prices, according to the industry. The committee has dropped layer rates for birds of 1.3 kilograms to Rs 35 US$0.64) to boost consumption, as it is a perishable product.