Stockfeed prices yet to go down
Chronicle 23 August 2017
Oliver Kazunga, Senior Business Reporter
THE Zimbabwe Poultry Farmers’ Association (ZPFA) says stockfeed prices are yet to go down despite the bumper harvest realised this year.
Following the good rains that the country received in the previous farming season, the country envisages a historic bumper harvest of 2.1 million tonnes of grain, a development that should see agro-processors reducing prices of their products.
A few weeks ago, the Government announced that over 540 000 tonnes of grain had been delivered to the Grain Marketing Board.
ZPFA chairman Retired Colonel George Nare told Business Chronicle in an interview that retail outlets that sell stockfeeds were yet to reduce their prices.
“Stockfeeds are still pegged at previous levels. We haven’t seen the reduction despite the bumper harvest. The stockfeed prices are still pegged at between $33.50 per 50 kilogramme bag and $34 per bag.
“Upon inquiry, the stockfeeds producers say, the price of grain particularly maize has not gone down and it makes sense if what they are telling us is genuine,” he said.
Rtd Col Nare said before stockfeeds prices were increased to present figures, they ranged between $27 and $29 per 50 kg bag.
“Those outlets that sell genuine quality stockfeeds, you would find out that their prices range between $33.50 and $34 per bag and only those outlets that sell cheap quality stockfeeds have prices pegged at between $30 and $33 a bag,” he said.
A snap survey by Business Chronicle in Bulawayo this week revealed that most of the stockfeeds retailers in the Central Business District were selling their product at between $29 and $33 a bag.
The ZPFA chairman said due to challenges such as high cost of production facing the poultry industry, the outgrower scheme is resurfacing.
“The outgrower scheme is resurfacing because of the challenges such as high cost of production facing the poultry industry. Those farmers who are not into outgrower schemes are also finding it difficult to get payments for sales made to supermarkets and restaurants. In most cases, it now takes not less than a month for the farmers to get paid for sales made to supermarkets and restaurants,” said Rtd Col Nare.
Turning to the reported outbreaks of bird flu in May and July, he said the prices of poultry products are likely to rise.
“Due to the outbreak of bird flu that has been reported recently, day old chicks have disappeared from the formal market. Unscrupulous day old chicks producers are now selling them at $90 per 100 chicks. Before the outbreak of the disease day old chicks were being sold at prices ranging between $65 and $70 per every 100,” he said.
The bird flu was detected at a farm owned by Irvine’s near Harare recently forcing the Government to quarantine the company’s white meat and egg sub-sector to curb the spread of the disease.
The highly pathogenic virus killed over 7 000 birds and the company had to depopulate by slaughtering an additional 140 000 birds to prevent the spread of the disease.
Meanwhile, the Zimbabwe Poultry Association has indicated that due to the outbreak of avian influenza availability of broiler chicks has declined by close to 500 000 per week.
In an industry report released this week, ZPA said the country will have to import day old chicks from outside Sadc to cover the deficit and this would be more expensive than securing them in the region.
@okazunga