Chicken hits Rs 320 as demand rebounds

CHICKEN prices hit an alltime high of Rs 320 per kg in the Kathmandu valley on Tuesday. A number of cold stores in the capital have been reported to be selling the popular meat product for even Rs 330. Chicken reached the Rs 300 per kg mark in February 2013. “Chicken prices have soared due to a significant increment in demand,” said Junga Bahadur BC, president of the Nepal Chicken Sellers’ Business Association (NCSBA). “The supply of chicken is significantly low compared to market demand.” Traders said demand for chicken suddenly took off with the end of Dashain as meat lovers returned to poultry products after indulging in mutton and buff during the feast. Chicken is the most popular meat product during normal times. “People have returned to chicken. Meanwhile, those who had left for their villages for Dashain are coming back, and this increased population has resulted in higher demand,” said BC. The current demand is only half of the regular requirement, he added. During Dashain, it is estimated that the Kathmandu valley consumed goat meat worth Rs 750 million and chicken worth Rs 250 million. The valley’s daily requirement of chicken is estimated to be around 250,000 kg. “Demand presently amounts to just half of regular demand, even then we are facing difficulties in fulfilling it. Prices may pick up further when demand rises to its normal level,” said BC. According to the NCSBA, traders are finding it difficult to meet orders for chicken due to a shortage created by the culling of 2 million fowl in the Kathmandu valley due to bird flu outbreaks. This has also ended the self-sufficiency of the valley in poultry products, said entrepreneurs. The valley’s requirement of chicken used to be fulfilled by products from Dharmasthali, Banepa, Godavari, Sundarijal, Dhading and Bhaktapur. Chitwan, called the country’s poultry capital, accounts for 5 percent of the chicken sold accounts for around 30 percent of sales. Going by the supply situation, the figure is likely to increase in the days to come,” said BC. Shipments are arriving from places like Sindhuli, Sarlahi, Nawalparasi and Dang districts to fulfil the capital’s requirement, he added. Current trends suggest that prices are likely to rise further with the onset of Tihar, the second most widely celebrated festival in the country, and the wedding season which follows it. Also, chicken mortality rates are higher during the winter season leading to a reduction in the supply. “Demand for meat as a whole increases sharply during the winter. We cannot predict anything right now, but going by the current trend, we see a rise in prices post-Tihar,” BC said. Traders said demand for chicken suddenly took off with the end of Dashain as meat lovers returned to poultry products after indulging in mutton and buff