After facing losses in the past one and half years, the poultry industry is now demanding that the central government should allow the import of crushed genetically modified (GM) soy seeds for captive consumption of poultry farmers.
Recently, the prices of soybean, which is used as feed in the poultry industry, has skyrocketed and experts suggest that the import for the particular time frame will stabilise the raw material market.
For the last one and half years poultry sector is facing several challenges on the increased cost of production, a misinformed reality about outbreaks of bird flu, Covid-19 restrictions and natural calamities.
C Vasanthkumar, president, Poultry Farmers and Breeders Association, Maharashtra, said that chicken and eggs are the only cheapest non-vegetarian protein sources available in the market.
“These increased raw material prices directly affect retail chicken prices. As a result of which chicken is sold at ₹250-300/kg in the retail market. This may lead to food inflation in the country amid a coronavirus outbreak,” said Vasanthkumar.
He added that the poultry owners demand to make soy and maize available to the poultry sector at a fair price.
{{/usCountry}}He added that the poultry owners demand to make soy and maize available to the poultry sector at a fair price.
{{/usCountry}}“Considering high speculations in soy contracts on National Commodity and Derivatives Exchange Limited (NCDEX) from the last six months, we request the government as well as Securities and Exchange Board of India (SEBI) to remove soybean as a commodity from NCDEX. As these speculations have huge potential to disturb the poultry sector or maximise the margins for trade under soya commodity,” said Vasanthkumar.
He further added that fiscal relief measures are also needed.
“We request to reschedule the outstanding term loans, to provide extended time (six to twelve months) for liquidation of loans to prevent the farmers turning into non-performing assets (NPA). Considering financial losses, we also request to grant interest subvention of at least four per cent for three years. We request the government to grant additional working capital loans to meet the increased cost of productions,” said Kumar.
Sujit Kulkarni, managing committee member, Compound and Livestock Feed Manufacturers Association, said that there should be zero per cent duty to tackle the soybean crisis.
“There should be an initiative for GM soybean. Also, GST on soybean should be reduced otherwise the prices for chicken and broiler eggs may increase further. Since last one and half year poultry sector is facing several challenges on the increased cost of production, a misinformed reality about outbreaks of bird flu, Covid-19 restrictions and natural calamities,” said Kulkarni.
He added that a similar situation occurred in 2006 when there was a first outbreak of avian influenza in the country.
“During that time the Government of India, announced interest subventions and increased credit duration to the poultry farming for the limited period,” said Kulkarni.