The average farm-gate price of regular-sized broiler has fallen by 9.4 percent to a three-week low of P67.50 per kilogram (kg) as domestic demand remains anemic coupled by persisting supply glut.
Latest United Broiler Raisers Association (UBRA) price survey showed that average farm-gate price of regular-sized broiler as of September 25 declined by P7 per kg from P74.5 per kg recorded in the previous week.
Based on Ubra data, this is now the lowest average farm-gate price of regular-sized broiler in three weeks since it hit peaked at P76 per kg on September 11.
UBRA attributed to weak demand and higher chicken meat imports that has created a domestic supply glut this year.
UBRA data also showed that the price declines were also observed in the average farm-gate prices of off-sized and prime-sized broiler.
The average farm-gate price of off-sized broiler was at P64 per kg, 10.5 percent lower than the previous week’s P71.5 per kg, based on UBRA data.
UBRA data also showed that the average farm-gate price of prime-sized broiler fell by P4.31 per kg to P69.19 per kg from last week’s quotation of P73.5 per kg.
The Covid-19 pandemic has forced key broiler markets such as the hotel, restaurant and institutional (HRI) sector to shut down, or partially halt operations, resulting in the loss of 30 percent of total domestic broiler demand.
Broiler raisers have been reeling from low farm-gate prices since then with the industry isn’t expecting any signs of immediate recovery of both demand and prices even during the Christmas season.
The Department of Agriculture (DA) is set to roll out a P4 billion worth of cash and food subsidy to marginal farmers and fisherfolk to help ease the broiler glut and spur domestic consumption.
The DA will provide farmers and fisherfolk with P5,000 combined financial and food subsidy with P3,000 of which in cash while the remaining P2,000 would be in the form of food such as rice and locally produced dressed chicken.
Latest National Meat Inspection Service (NMIS) data showed that nationwide dressed chicken inventory in accredited cold storages as of September 21 was at 73,127.42 metric tons.
NMIS data indicated that about half of which or around 33,740.45 MT were locally produced while the remaining volume of 39,386.97 MT were imported.
The latest volume was 11 percent higher than last month’s 65,859.76 MT and was 152.42 percent over last year’s 29,085.04 MT, based on NMIS data.
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