Indonesia Poultry & Egg Market - INDONESIA - Broiler prices fall further on stagnant demand and egg prices are stable, week ending Nov 26, 2005, reports eFeedlink.

Indonesia's economy is likely wrap up the year with a growth rate of only 5.2-5.6 percent, due to inflation that is set to remain high at 16 percent, the country's central bank said.

"We expect the economy to grow faster this year, as economic activities are set to increase in the two remaining months of November and December. However, the growth rate will still be lower than we had previously estimated," said Bank Indonesia's deputy governor Miranda S Gultom.

The economy has grown slowly in Q1-3, with rising inflation and interest rates after the March fuel price hikes dampening consumption even before another sharp fuel price increase on Oct 1.

Broiler

In the poultry sector, the business slowdown is clearly seen in the stagnant demand for broilers and eggs. Some producers said that they had anticipated this situation and thus had reduced their poultry inventories. This, in turn, created relatively stable prices, especially in big markets like Jakarta and Semarang.

In Jakarta, broiler prices remain unchanged at Rp 8,600/kg for the week in review. A similar situation was also seen in Semarang (central Java), where broilers were traded at Rp 7,000/kg on Nov 25, the same price as the previous week's.

In Surabaya (east Java), broiler prices declined slightly to Rp 6,800/kg on Nov 25 from Rp 7,200/kg in the week before.

In Sumatra, broiler prices were erratic in several areas. In Medan (north Sumatra) and Pekanbaru (central Sumatra), prices fell slightly to Rp 9,000/kg from the previous week's Rp 9,300/kg and Rp 9,500/kg respectively.

In contrast, Jambi (central Sumatra) and Palembang (south Sumatra) saw higher broiler prices at Rp 9,500/kg and Rp 8,500/kg respectively.

Egg

In Jakarta, eggs prices remained unchanged at Rp 7,600/kg.

In egg-producing areas like Blitar (east Java), price movements are dependent on the shipment of commodities to other islands like Sulawesi and Kalimantan. Since the fuel price hike, shipment schedules have become more irregular, according to some traders.

Eggs at Blitar were traded at Rp 6,700/kg as of Nov 25, a slight decrease from the previous week's prices.

However, egg prices at Palembang (south Sumatra) were the same as the previous week's at Rp 6,800/kg.

Source: eFeedLink - 28th November 2005