Ceiling on storage of maize and soya

17-06-2008 | |

India’s National Egg Co-ordination Committee (NECC) has asked the government to impose ceiling on the storage volume of maize and soya meal so that excess stock can be put into the market to lower prices.

The Namakkal zone of NECC points out that the poultry industry in general, and small farmers in particular, are facing the worst crisis due to the unprecedented increase in the cost of these essential feed ingredients, crippling the economic viability of the farmers.
The increase in the prices of these ingredients, despite a substantial increase in production of maize from 14 mln t in 2007 to 18.4 mln tonnes during the current year, has occurred mainly because of the forward trading in maize, speculation and hoarding by traders.
The industry fears that unless the government takes steps to bring these stocks down, the commodities may not be available to the farmers.
The Hindu reports that countries like Argentina, which is a big exporter of maize, has imposed a duty on maize exports so as to keep the domestic prices in control. Additionally, Brazil has also stopped exporting maize.
Meanwhile, India has started exporting higher quantities of maize. Unless the situation is remedied immediately, 40-50% of the poultry industry may close down, it is reported.
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