AN overabundance of chicken compounded by a drop in buyers has left farmers in a quandary.

They said this means they are now able to allow the chickens to reach a full maturity of 45 days before they are sold, after they were forced to kill the birds at 38 days to meet a shortage.

Now supply has returned to normal but the demand is low and further exacerbated by an export ban.

Johor Small and Medium Poultry Farmers’ Association member Lau Ka Keng said supply returned to normal this month after a shortage in July.

“After receiving subsidies from the government, farmers ramped up production,” Lau told The Malaysian Insight.

However, farmers are having now facing a tough time due to oversupply, he said.

“We are losing money for every chicken we raise. Demand is not rising but feed prices are,”

While the demand for eggs has also decreased, he said there is no excess in supply.

A farmer, who did not want to be named, said the low demand means chickens are now overweight and can only be sold as processed food.

“There was a shortage not because farmers were cutting down on production but because the economy had reopened.

“When people were allowed to withdraw from their retirement fund, demand grew as buying power increased,” he said.

“The price of chicken fell to RM6 per kg at one point but the price of feed keeps going up. How can we not make a loss?”

Mydin managing director Ameer Ali Mydin said supply is steady at the supermarket with the price increasing by 30 sen per kg this week.

Persatuan Penjaja Penjaja dan Peniaga Peniaga Kecil Pudu KL chairman Lim Kin He said the wet markets are adequately supplied.

“Previously, when we ordered 100 chickens, the supplier sent 30. Now we get what we order,” Lim said.

Lim said consumers’ purchasing power has dropped and the hawker business has also taken a hit.

“Hawkers who buy chicken from us complain that business has dropped.

“It’s also the Hungry Ghost Festival so there will be less demand from Chinese customers.”

Less spending

Richard Wan, a poultry seller, said supply has been enough for the past two weeks.

“We only sell fresh chicken as Malaysians do not like frozen chicken,” Wan said.

Agriculture and Food Industries Minister Ronald Kiandee told the Dewan Rakyat on August 1 that there is currently an oversupply of chicken following “effective” government intervention measures after months of shortage.

He said the chicken export ban is only temporary but did not say when it will end.

Federation of Livestock Farmers Associations of Malaysia deputy president Lee Yoon Yeau said there are just enough eggs because demand is low.

Once demand returns to normal, there might be a shortage, he said.

“Whatever we send to the market, it is sold out on the same day,” he said.

Lee said due to the rising prices of soybean feed caused by to the Russia-Ukraine war, egg production is more expensive now.

“Feed accounts for 80% of our costs. To produce 500,000 eggs, we need 3,000 tonnes of feed at RM2,000 per tonne.”

Lee said farmers are losing up to RM6 million every month. – August 14, 2022.