THE Namib Poultry Industry (NPI) plans to increase its chicken prices from N$40 to N$45 for a 1,5 kg broiler in two weeks because the current prices are considered low.
Namib Mills managing director Ian Collard said on Friday that the main concern is the current pricing, which makes broiler production in both South Africa and Namibia uneconomical.
Collard said the chicken produced in accordance with world Cobb standards will increase with N$6 or more, depending on the pricing of the local retailer. (Cobb is a global company carrying out research and expanding technology to make protein healthy and affordable chicken available worldwide).
"We can only guide the prices but in the end the retailer decides on the price they want to place on their product," said Namib Mills spokesperson Ilena Peter.
NPI, which forms part of the Namib Mills Industry (MNI) employs 650 people and slaughters 50 000 chickens per day, amounting to one million chickens sold per month.
However, despite these achievements, Collard said that competition from imported chicken from Brazil had created a tremendous strain on the industry.
"We are looking forward to creating a healthy sustainable poultry industry," he said, appealing to government and consumers to give NIP a fair chance to start doing good business.
The price increase is expected to create food security through provision of chicken and increase local job creation with new opportunities for SMEs by creating a platform for fresh chicken.
The company was awarded infant industry protection by government under a managed quota system on 6 May this year in an attempt to support local chicken production.
"The government's Infant Industry Protection is not fully implemented but it is a quantitative measure, which means that before you can import chicken from abroad, you have to apply for a permit at the meat board," concluded Collard.
Minister Calle Schlettwein could not be reached for comment on the latest developments in the poultry industry as he was out of the country at the time of going to press.