India: Soymeal cause chicken cost rise
It has been reported that chicken prices in India are set to increase due to the rising cost of soymeal, which is the second main ingredient in poultry feed after maize.
According to a report from the USDA Foreign Agricultural Service, the rising cost of soymeal has affected production margins because 75% of the cost is from the feed alone.
The USDA report states that soymeal prices have risen significantly over the last year, from Rs 10/kg (rupees per kilo) to Rs 18/kg.
Chicken prices will be determined by the market trends of soya and could see a surge of Rs 8/kg, and may climb even further, depending on the future of soyameal in the overseas market, according to analysts.
Figures from the Poultry Federation of India show that the per capita consumption of chicken in the country is about 2.1 kg and is growing by 0.5% per year.
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