The Federation of Livestock Farmers’ Associations of Malaysia (FLFAM) attributes the latest price surge for poultry to the rising cost of raw materials for chicken feed and labour charges.

It explained that chicken broiler and eggs prices are heavily affected because chicken feed constitutes approximately 70 per cent of poultry farmer’s overall production cost. According to FLFAM, the two main ingredients for chicken feed — corn and soybean — have increased dramatically in the past year by 80 per cent and 45 per cent respectively. “This cost of raw feed materials is beyond the control of the poultry industry and it affects not only Malaysia but the whole world."

“As it is an imported ingredient, the price of these imports is affected by the availability such as the weather in the producing countries,” it said in a statement yesterday. FLFAM cited Brazil as an example, saying the country’s corn and soybean production is deeply affected by drought and cold weather.

Prices are also heavily affected by the ringgit’s current exchange value, FLFAM added.

Another factor that contributes to the rising prices of chicken broilers and eggs are the effects of the Covid-19 pandemic on its labour force.

FLFAM stated that farms, whose workforce are heavily dependent on foreign workers, are facing labour shortages as well as increased costs to comply with SOPs set by the government. Many of the sector’s workforce had returned to their respective home countries due to the pandemic.

It said there’s now a shortage of farmhands nationwide as owners are challenged to find replacement workers. As such, farm owners have to pay their workers extra to work overtime.

Source:

https://malaysia.news.yahoo.com/why-chicken-egg-expensive-blame-003743334.html