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Jakarta Post

Retailers on strike over high prices

Nothing to crow about: Chicken traders at the Kosambi traditional market in Bandung, West Java, go on strike on Thursday

Arya Dipa (The Jakarta Post)
Bandung
Fri, August 21, 2015

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Retailers on strike over high prices Nothing to crow about: Chicken traders at the Kosambi traditional market in Bandung, West Java, go on strike on Thursday. They demanded that the government help lower prices of day-old chickens, which have recently doubled and propelled the price of chicken meat so high that most customers can no longer afford to buy it.(Antara/Agus Bebeng) (Antara/Agus Bebeng)

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span class="inline inline-center">Nothing to crow about: Chicken traders at the Kosambi traditional market in Bandung, West Java, go on strike on Thursday. They demanded that the government help lower prices of day-old chickens, which have recently doubled and propelled the price of chicken meat so high that most customers can no longer afford to buy it.(Antara/Agus Bebeng)

Hundreds of chicken meat traders in Bandung, West Java, were on strike on Thursday protesting the high prices of their commodity.

 '€œThe people'€™s purchasing power is low. The high price of chicken has caused us financial loss,'€ the chairman of the Association of West Java Traditional Kiosks and Markets, Usep Iskandar Wijaya, said in Bandung on Thursday.

Chicken has selling for Rp 40,000 (US$3) per kilogram on average in a number of traditional markets in the city. Some even sold it for Rp 42,000 per kilogram.

Aep, a chicken trader at Kosambi market, said he bought live chickens for Rp 27,000 per kilogram. '€œThat'€™s why the retail price is Rp 42,000,'€ he said.

The chairman of the national poultry breeders association, Heri Dermawan, said the increase in the price of chicken after Idul Fitri was standard, as most breeding farms stopped operating five days prior to and five days after Idul Fitri.

'€œThe production period for chicken is 32 days. So, the price should return to normal by Aug. 27,'€ Heri said.

He also said that the price of chicken was also influenced by the price of day-old chicks.

Day-old chicks, according to Heri, were currently priced at Rp 5,500 to Rp 6,000 each. At that price, he added, breeders have to sell the chicken for Rp 22,000 per kilogram to make a profit.

Heri also suggested the government anticipate the increase in the price of chicken by ensuring the stock of day-old chicks.

In anticipation of the planned strike by chicken traders, the state logistics agency'€™s (Bulog) West Java regional division III is prepared for a market intervention.

'€œWe have been told by the central government to meet the people'€™s need,'€ head of Bulog'€™s regional division III, Alip Afandi, said.

Alip said market intervention usually targeted consumers, but this time the chicken would be sold to traders. The same measure, he said, was previously taken when other meat traders had gone on strike.

During the intervention, he said, the chicken would be sold for Rp 32,000 per kilogram. '€œWe are still discussing the price, because we do not want traders to have to sell the chicken at high prices to consumers,'€ Alip said.

Separately, West Java Industry and Trade Agency head Ferry Sofwan Arif expressed hope that Bulog and traders would soon agree on the price of the chicken during the market intervention.

This was important to guarantee the availability of chicken in the market, especially for chicken-based businesses such as sellers of chicken porridge, fried chicken and chicken sate, he said.

'€œHopefully the condition will improve soon,'€ said Ferry, adding that the chicken supplies could be there within the next eight days.

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