Cairo- The poultry industry in Egypt is one of the most important vital industries that are closely related to the culture of Egyptian consumption, especially in the holy month of Ramadan, as the percentage of demand for poultry increases to become the main nutrient at the Egyptian table.
Despite the high prices in the last period, it remains the most balanced option between the nutritional value and the purchasing power of most families, especially low -income and medium.
In this dialogue, we review with Abdel Aziz Al -Sayed, head of the Poultry Division of the Federation of Chambers of Commerce in Cairo and one of the entrepreneurs in the poultry sector and has experience extending more than 40 years, the challenges facing this industry, and how it is ready to meet the increasing demand during the month of Ramadan, and the impact of price fluctuations on production and consumption, in addition to ways to develop a sustainable model for this industry that ensures the provision of health products at reasonable prices and achieve stability in the local market.
In the following text of the dialogue:
Increased demand for poultry in Ramadan
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How does Ramadan affect the poultry industry in Egypt?
The demand for poultry in the month of Ramadan increases by up to 20%, as it is the main nutrient on the Egyptian table. Despite the high prices, it remains within the reach of most families, especially with the decline in demand for red meat after the first days of the holy month.
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What are the reasons for the high prices of poultry?
There are many reasons for the high prices, which ranged between 10% and 15%, including increasing demand, and the high costs of production inputs such as imported feed, energy and transportation, and the high price of chick, which reaches 60 pounds (the dollar equals about 50.6 pounds), constitutes about 60% of production costs, which greatly affects the final price.
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How does the poultry industry prepare in Egypt to meet the increasing demand?
Preparations begin months before Ramadan, which is a golden opportunity for workers in the sector to make good profits. We have been working in this field for more than 40 years, and we have companies such as the “thirtieth company for the development of livestock and poultry that has been working for 15 years. We are keen to study the market well to meet the increasing demand, especially in light of the recent economic fluctuations.
This month is a huge market that provides great opportunities to achieve profits, but rather an opportunity to return to the activity for those who stopped working during the year. It takes advantage of this momentum even those who left the system, where they find an opportunity to return and benefit from this active seasonal cycle.
The economic crisis and its impact on the industry
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How did the recent economic crisis affect the poultry industry?
The industry was severely damaged in 2022 due to a lack of foreign exchange, which led to a lack of feed and the decline in raising poultry mothers. This resulted in a decrease in the number of poultry produced by about 20%, and the price of production inputs increased.
For example, the price of a kilo of chicken increased from 38-40 pounds (0.75-0.79 dollars) to 106-115 pounds (2.10-2.28 dollars), or an increase of 250%, while the wages did not increase for the same, which led to the decline in the purchasing power of citizens.
What is the reality of poultry industry in Egypt, especially in the month of Ramadan?
Poultry is the main nutrient on the Egyptian table and these are some of the numbers:
Industry size:
The value of the poultry industry in Egypt exceeds 100 billion Egyptian pounds (about two billion dollars).
- workforce:
It works in this sector between 3 to 3.5 million people.
- Annual production:
Egypt produces 1.2 billion chickens annually, after production was 1.4 billion chickens.
- Individual consumption:
The average per capita poultry consumption is 21.5 kilograms annually. Egg production is also 11 billion eggs annually, and the average per capita consumption is 110 eggs.
- Monthly consumption:
The volume of monthly consumption of poultry is 120 thousand tons.
The per capita poultry
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How was the per capita poultry in Egypt affected?
Yes, the per capita poultry decreased due to the high prices and the decline in production. The per capita poultry has become 21.5 kilograms annually, and from eggs 110 eggs annually instead of 140 eggs.
With production decreased from 1.4 billion chickens to 1.2 billion, monthly consumption decreased from 180 thousand tons to 120,000 tons.
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Does Egypt depend on the import of poultry to cover its needs?
No, Egypt does not import large quantities of poultry, so the import volume does not exceed 50 thousand tons annually, which is less than half of the monthly consumption of Egyptians.
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What challenges facing the poultry industry in Egypt?
A large part of the industry workers came out due to price fluctuations and a lack of feed, in addition to the decline in supply options in the term, as the priority for liquidity and the price paid in cash. This led to a significant decline in production capacity.
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What do you think of the phenomenon of live poultry trading in the markets?
In Egypt, we suffer from the continuation of the culture of live poultry, as a large part of the Egyptians prefer to buy and slaughter poultry in the stores. This practice is unhealthy and spreads bacteria and infection.
I call for the implementation of the law to prevent live poultry circulation (Law 70 of 2009), which only allows the slaughter of poultry in automatic massacres licensed under veterinary supervision. This will reduce trading episodes and provide a safe product and high quality for the consumer.
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How is the month of Ramadan different from the rest of the months?
Ramadan is different from the rest of the months in multiple aspects, it is not only a month of worship, but it is also a month of work that does not stop, as the production wheel continues to meet the needs of consumers.
Although it is a season of trade in the markets, it is also a month of trade with God, where spending is multiplied by the poor, needy and needy, and good and righteous work increases.
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What are the proposed solutions to develop industry?
The poultry industry in Egypt faces many challenges, especially in light of the recent economic crises, but it remains a vital industry related to the culture of Egyptian consumption.
With the application of the necessary reforms, such as preventing live poultry trading and expanding investment in automatic massacres, this industry can regain its strength, and meet the needs of the local market with safe products and affordable prices for citizens.