Poultry Union: Up to 80 percent of poultry meat will be sold by chains at below-cost prices

According to Gabriela Dlouhá from the Czech-Moravian Poultry Union (ČMDU), about 80 percent of poultry meat is sold by retail chains at below-cost prices, while its consumption is growing. Data from the Czech Statistical Office (CZSO) shows that the prices of broiler chickens fell year-on-year, they were lower by 7.7 percent. Another problem for breeders, according to the union, is that traders often prefer cheaper poultry meat from abroad. According to Tomáš Prouza, president of the Trade and Tourism Association of the Czech Republic, shops always prefer Czech meat.

“Consumers prefer recent years poultry meat because of the cheaper price, quick kitchen processing and its more dietary properties compared to other types of meat,” said Dlouhá. According to her, however, it is sold at prices below cost. Producers sold broiler chickens of the first quality class for an average of 28.24 crowns per kilogram live , it is a year-on-year decrease of 7.7 percent, according to data from the CZSO.

Prize for breeders

“The result price for poultry farmers is about 1.5 kroner per kilogram lower due to the classification of poultry and the fee for the gentle removal of poultry from slaughterhouses,” said Dlouhá. According to the Poultry Union, the price of chickens was affected by the discounting of feed mixtures, but operating and labor costs for breeders are increasing, by higher percentages since the beginning of this year.

Import from abroad

Another problem for breeders, according to the union, is that many traders give preference poultry meat from abroad, which is cheaper. “A number of domestic breeders are faced with the decision whether to continue in this difficult situation, or to end their mostly loss-making business, when large stores and restaurants prefer cheaper and often lower quality poultry meat production from neighboring European or third countries,” said Dlouhá.
The Agrarian Chamber of the Czech Republic (AK ČR) also agrees with this. “Large retail chains choose their suppliers mainly based on price and have meat and meat products imported from destinations thousands of kilometers away, which means tens of hours of driving and it can affect the quality parameters of the products,” said a spokeswoman for the AK CR.
However, according to the president of the Trade and Tourism Association of the Czech Republic, shops always prefer Czech meat. “If we have to import, it is only because Czech suppliers cannot cover all the demand of our customers,” said Prouza. According to him, it would help if breeders invested in improving the quality of their supplies and greater production efficiency.