JAKARTA - The Ministry of Trade will meet with chicken egg farming business actors to talk and discuss the rising egg prices that are happening this week.
"In the near future, the Minister of Trade, Zulkifli Hasan, will invite business actors, especially at the day old chicken (DOC) layer farms, to talk about this price spike," said Acting Director General of Domestic Trade at the Ministry of Trade Syailendra to Antara, Wednesday, August 24.
Syailendra explained a number of factors that caused an increase in the price of broiler eggs, namely the decline in the population of laying hens by up to 30 percent due to a decrease in consumption and a decline in prices at the beginning of the COVID-19 pandemic.
So, many business people prefer to cut the chicken rather than waiting for the eggs.
However, the increase in demand for basic commodities occurred with the easing of the restrictions on community activities (PPKM).
"The policy of easing the PPKM related to the change in the status of COVID-19 from pandemic to endemic has increased the demand for broiler eggs very significantly, namely by 60 percent to meet household consumption, hotels, restaurants and cafes, as well as the food and beverage industry," he said. Syailendra.
As a result of the increase in demand, he continued, not a few wholesalers have increased their stock of eggs to meet public demand, in addition to supporting the social assistance program/egg distribution to the community.
A similar incident occurred in December 2021 where the absorption of eggs by the government for social assistance caused the price of broiler eggs at the breeder level to reach Rp. 23,000 per kilogram (kg) with the highest peak occurring in the fourth week of December 2021 which reached Rp. 26,900 per kg.
Syailendra explained a number of efforts have been made by the Ministry of Trade to maintain price stability for broiler eggs, among others, by providing feed corn at a price according to the government's reference price of IDR 4,500 per kg to help layer breeders, especially micro and small scale.
The assistance has started in October-December 2021 at 30 thousand tons and continued in the May-June 2021 period with a realization of around 25 thousand tons.
"This assistance is expected to reduce the burden of layer breeders' production costs with the hope that the supply and price of chicken eggs can be stable," explained Syailendra.
Syailendra also revealed that the increase in the price of broiler eggs at the retail level was due to the increase in prices at the farmer level since May 2022 which touched Rp. 24,000 per kg.
The price of chicken eggs continues to increase until now. Meanwhile, the selling price at the farmer level is influenced by the high cost of production (HPP) of farmers, which currently ranges from Rp. 21,000 to Rp. 22,000 per kg.
Syailendra emphasized that the Ministry of Trade is committed to stabilizing the supply and price of broiler eggs, which are currently increasing.
Based on the Ministry of Trade's monitoring, it was recorded that as of August 23, 2022, the price of broiler eggs at the retail level reached Rp. 31,000 per kg, an increase of about 2.9 percent compared to the previous week and an increase of about 6.1 percent compared to the previous month.
According to Syailendra, the Ministry of Trade is currently coordinating and collaborating with the National Food Agency and the Ministry of Agriculture to create a conducive poultry business climate.
"In the long term, it is hoped that a synergistic poultry ecosystem will be formed and have a positive impact on all poultry business actors and the community as consumers," said Syailendra.
According to Syailendra, it is possible that egg prices may fall in October-December this year.
Based on the Ministry of Trade's monitoring, the national average for broiler eggs at the retail level was around Rp. 31,000 per kg on August 23, 2022, an increase of about 2.9 percent compared to the previous week and an increase of about 6.1 percent compared to the previous month.
The lowest average price of purebred chicken eggs occurred in Jambi at IDR 26,000 per kg, the highest price in Papua at IDR 42,000 per kg, while in DKI Jakarta it was IDR 30,700 per kg.
Specifically for the DKI Jakarta area, the lowest price was IDR 28,000 per kg at Pasar Minggu, while the highest price was IDR 32,000 per kg at Pasar Gondangdia, Central Jakarta; Koja Market and Rawabadak Market, North Jakarta; and Mampang Market and Mayestik Market, South Jakarta.
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