Highly prized by Moroccans, especially those with modest incomes, poultry prices are soaring for several weeks, due to many factors. These include the drop in supply and the increase in demand, the rise in prices of cereals and seeds for poultry, intermediaries and the anarchy in the sector.
Joined by MoroccoLatestNews UK On the reasons for this significant spike in chicken prices, Said Janah, a member of the National Council of the National Association of Poultry Meat Producers (APV) felt that this is a question that should be asked. a long time ago.
” At the time, the consumer did not pay attention, because the price of poultry was low, since the breeder paid the difference. Today, on the farm, chicken costs 16 dh per kilo, due to the price of seeds intended for poultry feed, which has increased by around 40% to reach 12 dh. Added to this is the price of the chick which is 2 dh per unit, i.e. 14 dh, in addition to the cold which leads to the overconsumption of butane gas, i.e. 1 dh, in addition to one dirham of medicine, and the hay which today costs 35 dh“, explains Said Janah.
All of these factors mean that the price has increased, not only for the consumer, but for the breeders in the first place, points out this member of the CN of the APV, noting that the price of poultry must have cost for a long time between 20 and 25 dh per kilo at least.
Regarding the comparison of prices with those of two years ago, Said Janah points out that at the time, the supply was huge compared to the demand. ” There was a difference of two dirhams that the breeder paid, and which at one point reached 5 dirhams. In the end, the breeder ended up with zero profit“, he explains.
All these problems have been raised on several occasions by professionals in the sector via press releases, or even sit-ins organized in front of the Ministry of Agriculture in Rabat. The professionals also called on the government to sit down at the dialogue table. But in vain, which is why they are calling for urgent state intervention to lower costs, and therefore the final price for the consumer.
Another parameter that has caused the price of poultry to soar is the cold season. This period is still experiencing problems in terms of poultry farming, which generates additional costs for the breeder, hence the need for the State to intervene, at least with regard to the raw material, underlines Said Najah.
” We heard that in the 2023 finance law, the government removed VAT on basic necessities. But unfortunately, the VAT yield has not been directed to fodder products. The price is still the same, we haven’t seen any changes. So the State must intervene to support these products, either by fixing the price of poultry, or by establishing agreements with breeders. We are also prepared for the State to leave us only 50 cents or 1 Dh of profit“, supports our interlocutor.
Anarchy reigns over the poultry sector
Open to all possible solutions, Said Janah stresses that investors today are hoping for support from the state,” to preserve this vital product of Morocco, and which allows self-sufficiency in this area without resorting to imports“, he says, noting that professionals can no longer continue to work at a loss.
On the other hand, Said Janah returns to the anarchy that prevails in the sector.
” There is indeed a federation that governs the sector. But on the ground, we do not see it and we do not feel it. We only see that the price increases and then decreases by a cost. We therefore consider the Federation as a Casino. We ship the chicken for sale in the market, but we don’t know at what price we will sell in the end. For example, we ship the chicken at 16 dhs, we sell it in the end at 14 dhs per kilo. 4 days later, the market price arrives at 16 dh. So we no longer understand anything, we are in total confusion“, deplores our interlocutor, who claims to ignore the “ mechanisms which govern the market today.
” When the sector is organized, we know in advance how much it will cost us and how much we will sell in the end. It works like that in all sectors, with the exception of livestock. A breeder never knows if he will win or lose once at the market. We don’t know who sets the prices. Be aware that an intermediary can create chaos within the market. He sets the prices. Moreover, one of the factors of the rise in prices is the intermediaries“, he specifies.
Asked about the daily support granted by the State to agricultural professionals, Said Janah confided to us that at one time, the State had entered into a partnership with Crédit Agricole to grant advantages and credits in favor of stockbreeders for develop the sector.
” There are breeders who applied for credit but never got it. Those who have taken advantage of these advantages, and of the 5% credits, are the big investors. Worse still, the condition imposed to take advantage of these credits is membership in the Federation. There are some who have paid the membership fees and registered with the FISA (interprofessional federation of the poultry sector in Morocco), since agricultural credit requires a document from the Federation, but have never had credits . So there is something wrong. But as an investor and breeder, why am I going to need a guarantor to develop my business. It is my property that is my guarantor“, he remarked.
Referring to the speeches that call for the qualification of farmers and breeders, Janah wonders how this could happen if they are not given the means to develop.
In this regard, this member of the National Council of the National Association of Poultry Meat Producers calls on the State to revise the current system that governs the poultry sector, and launch a national debate on the subject to find the source of the problem. .
Ultimately, our interlocutor clarified that as a breeder who owns the goods, it is not he who sets the price, but rather the intermediary, due to the absence of local price control committees or sales offices that control the market.