Jakarta, CNBC Indonesia - The price of livebird chickens at the farm\nlevel has started to show an upward trend after plunging over the past\ntwo months. However, this increase is not entirely good news for\nbreeders as production costs have also swelled. Meanwhile, egg prices\nremain sluggish and are still below the cost of production.<\/p>\n
Sugeng Wahyudi, Secretary General of the National Chicken Breeders\nOrganisation (GOPAN), said that chicken prices began to rise on Monday\n(13\/7\/2026). However, the current price is still around or even below\nthe farmers\u2019 cost of production.<\/p>\n
\u201cChicken prices have started to move up, starting Monday 13 July\n2026, at least the losses for breeders have been reduced. Currently, the\nprice of live chickens at the farm is around Rp20,000 per kg, compared\nto June which was Rp13,000 per kg. This means there is an increase. The\ncurrent production cost for breeders is Rp20,000-Rp22,000 per kg,\u201d\nSugeng told CNBC Indonesia on Friday (17\/7\/2026).<\/p>\n
\u201cHowever, the increase in live chicken prices has also been followed\nby an increase in the price of day-old chicks (DOC), which was\noriginally around Rp4,000 per head, now the price is Rp6,500 per head,\nwhile the price of feed has also increased by around Rp1,000 per kg\nsince early May,\u201d he added.<\/p>\n
Sugeng said this condition remains a difficult challenge for\nbreeders. \u201cThis condition makes it difficult for breeders, on one hand\nthe price of chicken is rising, on the other hand the cost of production\ninputs is also rising,\u201d he said.<\/p>\n
According to him, the improvement in chicken prices is partly due to\nreduced supply in the market. One factor is increased demand from the\nFree Nutritious Meals (MBG) programme, although overall chicken\nproduction is still relatively high.<\/p>\n
\u201cThe excess supply in the last two months has been reduced by the\ndemand for MBG, but production is still higher, this is what has\nhappened in the last two months. Efforts by businesses to slaughter\ntheir chickens in slaughterhouses, especially large-scale businesses,\nhave also affected supply,\u201d he said.<\/p>\n
On the other hand, Sugeng revealed that the rising prices of raw\nproduction materials, especially feed and day-old chicks (DOC), remain\nthe main complaint of breeders. He welcomed the appeal from the\nDirectorate General of Livestock and Animal Health of the Ministry of\nAgriculture for feed producers not to raise prices again during\nJuly.<\/p>\n
\u201cThe high prices of feed inputs and DOC, which are the complaints of\nbreeders, have been responded to by the Director General of PKH with an\nappeal that there should be no feed price increase in July. Hopefully,\nfeed factories will heed this appeal, while also striving to increase\nchicken prices, at least above the breeders\u2019 cost of production and\ntowards the reference purchase price of Rp25,000 per kg,\u201d he said.<\/p>\n
What About Egg Prices?<\/p>\n
Meanwhile, Musbar Mesdi, Chairman of the National Layer Breeders\nAssociation (APLN), said that the condition of layer chicken breeders\nhas also not improved to date. The low selling price of eggs is\nconsidered inseparable from the weakening purchasing power of the public\nwho are still burdened by living costs.<\/p>\n
\u201cThe selling price of our commodity is terrible because the daily\ncost of living for the public is very heavy. The price of eggs at the\nfarm level is Rp21,000-Rp22,000 per kg, while the break-even point under\ncurrent conditions, or the cost of production for layer chickens, is\nRp23,000-Rp24,000 per kg,\u201d said Musbar when contacted separately.<\/p>\n
In line with this, Sugeng also mentioned that the price of eggs at\nthe farm level has not yet increased. This is despite Vice Minister of\nAgriculture Sudaryono previously requesting that the price of eggs at\nthe farm level reach Rp24,000 per kg.<\/p>\n
\u201cFor eggs, the information I received is that the price of chicken\neggs on the farm has not yet risen. At that time, the Vice Minister of\nAgriculture requested the price at the farm level to be Rp24,000 per kg,\nbut currently it is at Rp22,000, sometimes dropping to around Rp20,000\nper kg,\u201d said Sugeng.<\/p>\n
Hopes for the Government<\/p>\n
To help sustain the businesses of breeders, especially small-scale\nones, Sugeng hopes the government will not only issue appeals to the\nfeed industry but also prepare policies that can reduce production\ncosts.<\/p>\n
According to him, feed costs account for about 70% of the total cost\nof production. Therefore, fluctuations in the dollar exchange rate and\nthe prices of raw materials such as corn and soybean meal (SBM) very\nquickly impact the costs that must be borne by breeders.<\/p>\n
\u201cThe composition of feed costs is 70% of the total cost of\nproduction. Meanwhile, if there are fluctuations in the dollar and\nothers, the price immediately rises. At least in addition to appeals,\nthe government must also think about efforts to provide feed material\nsubsidies to small businesses or small breeders. So that the impact, for\nexample, of corn and soybean meal materials or others, can make the cost\nof production for breeders lower,\u201d he explained.<\/p>\n
In addition to subsidies for feed raw materials, Sugeng also hopes\nthe government will strengthen the absorption of chicken and eggs\nthrough national food reserves by involving large businesses. According\nto him, this step can also be optimised through government social\nprogrammes, including stunting prevention, so that chicken and egg\nprices are more stable while maintaining the sustainability of\nsmall-scale breeders\u2019 businesses.<\/p>\n
\u201cOn the downstream side, absorption initiated by the government with\nthe involvement of large businesses, and maximising national food\nreserves is worth doing, including implementing social programmes for\nstunting prevention with chicken meat and eggs, which will greatly help\nthe sustainability of small breeders and the achievement of relatively\nstable chicken prices, so as not to confuse consumers,\u201d he\nconcluded.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/breeders-cry-out-as-chicken-prices-rise-again-due-to-mbg-yet-problems-persist-1784271039", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }