Business Standard

Govt urged to rein in maize exports

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Chandan Kishore Kant Mumbai
Prices are ruling above Rs 700 a quintal
 
The National Egg Co-ordination Committee (NECC) has asked the government to regulate maize exports. A representation to this effect will be sent to the central government this week.
 
"We have strongly urged the government to allow maize exports only through government owned agencies so as to rein in maize exports," said Anuradha Desai, the chairperson of NECC. Private players and middlemen were exploiting the market, she added.
 
The poultry industry, which consumes more than 65 per cent of the total maize production in the country, has witnessed a rise in the cost of production.
 
"Over the last three years, the cost of production for 1 kg of chicken has risen from Rs 28 to Rs 37 and that of an egg from 0.95 paise to Rs 1.55," she said. The rise in maize prices was the prime reason as the poultry industry depends heavily on maize, she added.
 
The Rs 38,000 crore poultry industry has witnessed a two-digit growth in the last couple of years with consumption rising every year. "The chicken (meat) industry is growing by 20 per cent where as the egg industry is hovering between 10 and 12 per cent," said Desai.
 
Though this is the peak season for maize arrivals, prices are ruling above Rs 700 a quintal. "The minimum support price for maize is Rs 6.20 a kg, which is a fairly good price. But in the market, maize costs above Rs 7 a kg," she said.
 
Rising input costs combined with the current peak consumption period for chicken and eggs (December-January) could result in poultry farmers, who have suffered losses, reducing production.
 
CHICKEN & EGG STORY
 
  • NECC wants only state-owned agencies to export maize
  • Poultry industry consumes over 65% of domestic maize production
  • Input costs for chicken and egg production rose by over 30% and 60% respectively
  • Some tapering down expected in chicken and egg production
  • With the onset of peak demand season, prices of poultry products could go up
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    First Published: Dec 05 2007 | 12:00 AM IST

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