The BPA’s warning of a production halt is a stark indicator of the challenges faced by small poultry farmers in Bangladesh. As the January 1 deadline approaches, the government faces mounting pressure to take decisive action.

The Bangladesh Poultry Association (BPA) has issued an ultimatum to halt egg and chicken production in marginal poultry farms nationwide starting January 1 if their 10-point demand is not met. The BPA, which represents poultry farmers and traders across the country, claims that corporate syndicates dominate the poultry market, jeopardizing the livelihoods of small-scale farmers and undermining the stability of the entire sector.

The announcement came through a press release, with BPA President Md Sumon Howlader accusing the government of favoring large corporations over marginal farmers. “Despite repeated pleas to the government, no effective measures have been taken to address the crisis. The dominance of corporate syndicates has destabilized the poultry sector, causing significant losses for small farmers,” said Howlader. “If the government fails to act, marginal farmers will be forced to cease production, which could cause irreparable damage to food security, employment, and the broader economy.”

A Crisis for Small Farmers

The poultry sector is vital to Bangladesh’s economy, providing livelihoods for nearly 5 million people. Marginal poultry farmers, however, say they are struggling to survive due to unfair competition from large corporate entities. The BPA highlighted that corporate companies, which dominate the market by producing feed, chicks, eggs, and chicken, leave little room for smaller farms to compete.

According to poultry farm owners, corporate dominance has suppressed market prices, leading to financial strain for small producers. Broiler and Sonali day-old chicks (DOCs) have seen a significant price decline in recent months, being sold at Tk 37-45 per piece compared to earlier rates. In contrast, layer chick prices have remained static at Tk 65-70 per piece. While this decline benefits consumers temporarily, it has hit small farmers hard, as production costs continue to rise.

Mahbubur Rahman, president of the Breeders Association of Bangladesh (BAB), acknowledged the challenges facing small and medium-scale farmers. He stressed the need for immediate government intervention to prevent market instability. “The government should take the matter seriously and investigate whether vested interests are attempting to manipulate the market,” Rahman said.

BPA’s 10-Point Demand

The BPA’s 10-point demand focuses on restricting corporate dominance and providing relief to small poultry farmers:

1. Limit Corporate Companies: Restrict corporate firms to producing feed and chicks only; bar them from egg and chicken production.
2. Halt Commercial Production: Prohibit large-scale corporate egg and chicken production.
3. Dismantle Syndicates: Disband corporate syndicates accused of controlling feed and chick prices.
4. Ensure Fair Prices: Guarantee fair prices for eggs and chicken produced by small farmers.
5. Provide Loans and Subsidies: Offer small farmers easy access to loans and subsidies to sustain operations.
6. Financial Incentives: Introduce incentives for marginal farmers to recover from current losses.
7. Separate Market Access: Create designated markets for small farmers to sell their produce.
8. Regulate Corporations: Enforce government policies to curb corporate dominance in the poultry sector.
9. End Exploitative Contract Farming: Abolish contract farming practices that exploit small producers.
10. Support and Training: Provide training and technical support to improve production efficiency for marginal farmers.

Potential Impact on the Market

While the BPA’s demands aim to protect small farmers, some observers argue that the threat to shut down production could disrupt market stability. Currently, the price of eggs and broiler chickens has remained stable over the last month. Eggs are being sold at Tk 145-150 per dozen, and broiler chicken is priced at Tk 185-200 per kilogram. Both traders and consumers have found these rates reasonable, sparking concerns that the BPA’s move might destabilize the market.

Industry insiders, however, argue that without intervention, marginal farmers will continue to incur losses, forcing many out of business. “If small farms shut down, the corporate companies will gain even greater control of the market,” said a poultry farm owner. “This will ultimately lead to price hikes in the future, as competition will be wiped out.”

Government’s Role

The BPA’s ultimatum has put pressure on the government to address the poultry sector’s underlying issues. Stakeholders are urging authorities to investigate the role of corporate syndicates in the market and take steps to support small farmers. If no action is taken, the nationwide shutdown of marginal poultry farms could have severe consequences for food supply and employment.

Md Sumon Howlader reiterated that the BPA’s intention is not to create chaos but to safeguard the interests of small-scale farmers. “This is our last resort. If the government acts promptly and takes measures to address our concerns, we are willing to work together to stabilize the poultry sector,” he said.

The BPA’s warning of a production halt is a stark indicator of the challenges faced by small poultry farmers in Bangladesh. As the January 1 deadline approaches, the government faces mounting pressure to take decisive action. The situation highlights the urgent need to balance market competition, regulate corporate dominance, and protect the livelihoods of millions who depend on the poultry sector.

With food security and employment at stake, stakeholders hope that a resolution can be reached before the crisis escalates further.