Beef Ban Pushes Chicken Consumption; Prices Likely to Go Up
“Poultry wholesale price index has also risen over 22 per cent while that of beef and buffalo meat has declined about three per cent between May 2014 and March 2017,” noted an analysis carried out by ASSOCHAM.
Besides production of poultry meat, mainly chicken, has been steadily growing at a compounded annual growth rate (CAGR) of about 10-12 per cent, while its consumption has been clocking a CAGR of 15-18 per cent during the course of past few years.
The ASSOCHAM analysis also noted that between June 2013 and May 2014, there was an increase in wholesale price levels of over 10 per cent in beef and buffalo meat while that of poultry chicken declined by about nine per cent.
“Beef ban and the related controversies have surely come as a blessing in disguise for poultry firms in states like Andhra Pradesh, Haryana, Karnataka, Kerala, Maharashtra, Punjab, Tamil Nadu, Telangana, Uttar Pradesh and other key regions in this behalf,” said an ASSOCHAM spokesman while releasing the findings of the chamber’s analysis.
Apart from a sudden ban, “rising per capita incomes, growth in quick service restaurants are other key reasons for growing demand and consumption of meat in India,” said ASSOCHAM.
“India also provides a huge opportunity for foreign direct investment (FDI) in poultry especially in areas like breeding, medication, feedstock, vertical integration and processing, as such these areas should also be exploited,” it further recommended.