Abundant Egg Production Could Cause Prices to Plunge: What is the Ministry of Agriculture's Strategy?
MAGETAN, KOMPAS.com - Abundant production of layer chicken eggs in Magetan Regency has sparked concerns among farmers regarding the potential for prices to plummet at the farm level.
The continuously increasing supply has led the government to accelerate the absorption of eggs so that the production surplus does not turn into pressure on smallholder farmers.
The government assesses that the egg production surplus needs to be managed quickly and measurably to avoid pressuring prices at the farmer level.
Therefore, accelerating absorption, distribution, and strengthening consumption continues to be promoted to maintain the stability of the national poultry subsector.
Director of Livestock Product Downstreaming at the Directorate General of Livestock and Animal Health, Ministry of Agriculture, Makmun, stated that the government continues to strengthen downstream processing and market expansion for livestock products so that smallholder farmers’ production can be optimally absorbed.
“The government continues to strengthen downstream processing, distribution, and market expansion so that farmers’ production results can be absorbed more optimally. Our main focus is to maintain the sustainability of smallholder farmers’ businesses while ensuring that the community’s food needs remain fulfilled,” said Makmun in a press statement.
The Ministry of Agriculture also urges regional governments to regulate and discipline traders or farmers who sell eggs far below the Reference Selling Price (HAP).
The government views local-level control as important so that egg prices remain within the HAP range, allowing farmers to still gain profits and maintain production.
In line with the directives of the Minister of Agriculture and Head of the National Food Agency, Andi Amran Sulaiman, the government ensures that protection for smallholder farmers remains a priority amid market dynamics.
The government is optimistic that strengthening egg absorption, inter-regional distribution, production cost control, and increased animal protein consumption can maintain the stability of the national poultry subsector.
“Regional governments will facilitate egg absorption through civil servant egg purchasing movements and campaigns to promote egg consumption to the public. This becomes an initial step that can be immediately implemented to assist farmers,” said Nur Haryani.