MPI Going Rate Makes Mockery of Govt Order Regulating Chicken Prices

INDIA - The Kerala The state government order on chicken prices appears to be a case of a 'holier than thou' attitude in the light of the exorbitant price at which the government-run Meat Products of India(MPI) sells chicken.
calendar icon 24 July 2017
clock icon 3 minute read

The New Indian Express reports that the MPI’s going rate is over and above the Finance Department's mandated Rs 158/kg for white meat.

Though the MPI had slashed the price of chicken products post-GST, there is a price difference of around Rs 50 for a kilogram of chicken sold by retailers and MPI outlets.

After visiting the various MPI outlets in the state, it was found that a kilogram of chicken is sold at Rs 222.

The cut (curry) pieces of chicken are more even more expensive at Rs 265/kg. A sales assistant at an MPI outlet said the chicken price was slashed only a week ago.

Last week, the price of whole chicken was Rs 260 per kg while the cut (curry) pieces were priced at Rs 310 per kg.

MPI MD A S Bijulal told The New Indian Express that the company is selling frozen chicken through its 250-odd outlets across Kerala and hence the higher price.

He said a further reduction in the prices of chicken will not be feasible for the company.

"The price of chicken sold in our outlets remained higher compared to the chicken shops. Selling chicken at a much reduced price now will not feasible for the company.

"We own a factory and number of employees to whom salary and other perks have to be paid. The price of chicken sold by us post-GST has been slashed," he said.

"Post-GST, the price of chicken sold by MPI has gone down by Rs 15 or so. The prices of chicken and beef products have been reduced,” he said.

S K Nazeer, general secretary, All Kerala Poultry Federation, said besides the MPI, there are several private firms selling frozen chicken at higher prices.

"The companies which sell frozen chicken have a market share of 20 per cent. However, once the price of chicken stabilises in ordinary retail shops, the market for frozen chicken will go down.

"We demand the government declare Rs 87 as the base price," he said.

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