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Jakarta Post

Ministry issues regulation to address chicken oversupply

News Desk (The Jakarta Post)
Jakarta
Fri, March 31, 2017

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Ministry issues regulation to address chicken oversupply A seller arranges chickens at Bandarjo Market, Semarang, Central Java on May 23. (Antara/Aditya Pradana Putra)

T

he Agriculture Ministry has issued a ministerial decree to address the oversupply of chicken, which has sparked complaints by businesspeople about decreasing  prices of the commodity.

The regulation reduces the supply of day old chickens (DOC), the ministry’s livestock and animal health director general, I Ketut Diarmita, said on Thursday.

“The breeders of parent stock broilers are required to reduce the production of DOCs by 8 percent of total production,” the official said in a press statement.

(Read also: Chicken price drops due to oversupply)

The issuance of Ministerial Decision No. 3035/2017 is in response to complaints by chicken breeders after prices decreased to below production costs.

Currently, the production of  DOCs reaches 63 million broilers per week, which will be decreased by 5 million to balance supply and demand.

“The reduction will be implemented gradually starting from March 27 and will be reviewed every two weeks by the directorate general,” he added.

Breeders are also required to report the reduction process to the government. “Supervision will be done by a team, whose members come from relevant officials at the provincial, regental and mayoral level,” Diarmita added. (bbn)

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