Corn protection policy to escalate chicken prices in Sri Lanka

06.07.2017

Sri Lanka's excessive measure to protect corn farmers could have a devastating impact on the chicken industry. The government in a bid to prevent the chicken prices from increasing introduced a control price of USD 2.48/kg and the price remains at USD 2.74/kg even after the control price was removed.

But this situation could change if the authorities continue to protect corn farmers and impose the proposed tax of USD0.06/kg on corn, which will further increase the corn price which has risen from USD 0.27/kg to USD 0.34/kg. This would raise chicken prices by USD 0.13/kg. The world market price of corn is at USD 0.23/kg.


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