Prices Of Eggs, Chicken, And Beef Rise, What Is The Cause?

Illustrations (Irfan Meidianto / VOI)

JAKARTA - The Business Competition Supervisory Commission (KPPU) reported an increase in the price of a number of staple foodstuffs at the beginning of Ramadan 2021. Starting from eggs, chicken to beef. Several factors also influenced price increases ranging from weather, import constraints, to long and tiered distribution constraints. This KPPU report is based on the results of monitoring food commodity prices during the first quarter or January to April period, throughout Indonesia which is divided into 6 working areas. KPPU Study and Advocacy Taufik Ariyanto said data in the field showed that the price increases mainly occurred in eggs, chicken meat, chilies, and beef. "Commodities of chicken meat and chicken eggs, beef and chilies have shown significant symptoms in several regions," he said in a virtual press conference, Friday, April 16th. Taufik explained that at regional offices I which included North Sumatra, West Sumatra, Aceh and Riau, staples such as beef, chilies, shallots and garlic had increased. significant beef and chili where the increase is close to 16 percent, "he said.

Then, said Taufik, at Regional Office II which includes South Sumatra, Jambi, Bengkulu, Lampung, and Bangka Belitung, commodity prices are relatively stable, including for chilies, chicken meat and chicken eggs, while in Regional Office III which covers West Java, DKI Jakarta, and In Banten, price increases occurred in the range of 10 to 15 percent for chicken meat, chicken eggs and beef. Meanwhile, in regional offices IV covering areas of East Java, Central Java, DI Yogyakarta, Bali, NTT and NTB, chicken meat experienced a significant increase in price. "For regional offices V in the Kalimantan region, the data presented is relatively stable. Except for commodities of all kinds, dry chilies, cayenne pepper and all kinds, it has increased to nearly 20 percent," he said. Sulawesi, Maluku and Papua are also almost the same as other regions experiencing a significant increase of between 11 and 25 percent in chicken meat, chicken eggs and shallots. Furthermore, Taufik said right, price increases in commodity chicken meat, beef, chicken eggs and chilies in several regions were caused by various factors. For example, for chilies, price increases are influenced by less than optimal yields due to weather factors. Not only that, said Taufik, there are logistical constraints, namely supply constraints to enter the market due to flood and weather problems. In addition, the length of the distribution process also affects the price of basic commodities from breeders or farmers to consumers. "Then there is a distribution channel factor that is still lined or long from farmers to markets to consumers," he explained. level and length from the farmer to the market to get to the hands of consumers is a homework (PR) that has not been completed until now.

The increase in meat prices is still normal

As is known, the price of beef in traditional markets has begun to climb to Rp. 124,000 per kilogram. Before Ramadan, beef prices ranged from IDR 115,000 to IDR 120,000 per kilogram. However, the Ministry of Trade assesses that the current increase in the price of fresh beef is still normal. Trade Minister Muhammad Lutfi said the problem with the high price of beef in Indonesia was due to the large number of imported meat from Australia. It is recorded that around 52 percent of Australia's total exports are cattle. "But today Australia has experienced export disruptions for cattle. Due to the devastating fires in 2019 which caused the collapse of Australia's tile structure," he said in a virtual press conference, Friday, April 16, Lutfi said. , the fire caused the price of live meat from the initial estimate of 2.8 US dollars to 4.8 US dollars or the equivalent of Rp.51 thousand. This price does not include the cost of fattening, cutting to carcass. Meanwhile, the price of carcass is approaching Rp. 100,000. Furthermore, Lutfi said, beef on the market should be higher than the current price. However, the current price is stable. According to him, there are two factors that have caused the current stable price of beef. First, said Lutfi, because of the entry of local cattle into the domestic market. Thus, it compensates for the shortage of imports from Australia which are high in price. Second, because of COVID-19, the demand for beef in the Horeka sector has increased the price and is a natural thing. "So I see the price of cattle today which is IDR 124 thousand per kilogram, normal and good," he said.

The price hike for eggs and chicken meat fluctuates during Ramadan

With regard to the increase in the price of eggs and chicken meat, Lutfi asked all parties, including the community, not to exaggerate it. This is so that business players in this sector feel profit in the fasting month after a long loss. The Ministry of Trade noted that the average price of broiled chicken is IDR 37,000 per kilogram (kg) as of April 15, 2021. This figure has increased from last week or April 8. which is IDR 35,100 per kg and March 15, 2021, which is still IDR 34,200 per kg. Not only chicken meat, the price of eggs has also increased to IDR 26,300 per kg as of April 15, 2021. Last week, the price was still IDR 25. 400 per kg. "I ask permission, don't talk about the problem of chickens and chicken eggs first. Because fluctuations are very high and it's not big businessmen and livestock too. Don't make it big, let them get a lot of profit in the month of Ramadan," he said. , Lutfi said, the increase in food prices is still fairly normal if it is still below 3 percent. The increase usually occurs due to seasonality and rainy weather. "Chicken eggs are indeed high fluctuations in Ramadan, they gain four months in one year, they suffer losses of eight months in one year," he explained. Even so, Lutfi promised for next year, there will be better regulations regarding the prices of eggs and broilers. This is so that the price is more consistent.