Independent broiler farmers are at risk of bankruptcy as live-bird\nprices fall while production costs continue to rise. If the situation\npersists, they are expected to be unable to keep operating for more than\ntwo months.<\/p>\n
The Indonesian Independent Smallholder Farmers Association (Permindo)\nrecorded live-bird prices at farm level falling to around\nRp20,000-Rp20,500 per kg. Meanwhile, feed prices have reached\nRp9,700-Rp10,000 per kg and could rise further.<\/p>\n
Permindo member Asep Saepudin said rising feed prices were putting\nfurther pressure on independent farmers, particularly as chicken sale\nprices had yet to recover.<\/p>\n
\u201cWhat is more worrying for farmers is that feed prices keep rising,\u201d\nAsep said in a statement cited on Sunday (18 October 2026).<\/p>\n
He estimated that farmers were currently losing Rp4,000-Rp5,000 per\nbird. These losses are leaving them with less capital to finance the\nnext production cycle.<\/p>\n
\u201cIf this situation is allowed to continue, everyone will be out of\nbusiness in two months,\u201d he stressed.<\/p>\n
To prevent farmers from going bankrupt, Permindo urged the government\nto take immediate steps to control live-bird prices, which it said\nremained well below the government\u2019s reference price and were\ninsufficient to cover production costs.<\/p>\n
Asep also called on integrated poultry companies, which have\nsignificant influence over market price formation, to adjust their\nlive-bird selling prices so that prices received by farmers improve.<\/p>\n
He also proposed reducing feed prices to Rp8,000-Rp8,500 per kg and\nmaintaining live-bird prices at a minimum of Rp24,000 per kg, to bring\nthem closer to farmers\u2019 capital costs and production costs.<\/p>\n
Pressure is also coming from feed ingredients. Maize prices have\nreportedly exceeded Rp8,400 per kg, while supplies are scarce. Asep\ncalled on the government to ensure the availability of maize at\naffordable prices and with quality that meets feed-industry\nstandards.<\/p>\n
According to Asep, failure to address maize supply and prices\npromptly risks prolonging pressure on the feed industry, raising\nproduction costs and potentially affecting feed quality.<\/p>\n
Permindo, which has 180 independent farmer members, hopes the\ngovernment and industry players will take concrete steps to improve\nmarket conditions. It said such action is vital to enable independent\nfarmers to continue producing amid high costs and weak live-bird\nprices.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/chicken-farmers-face-bankruptcy-within-two-months-why-1792327825", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }