Poultry Prices Soar as Market Power Squeezes Zambian Farmers and Consumers

BUSINESS

By Zambian Agribusiness — Zambian Agribusiness

Poultry Prices Soar as Market Power Squeezes Zambian Farmers and Consumers
LUSAKA – Zambia's poultry sector, long heralded as a crucial pillar for both national food security and the economic empowerment of rural communities, is increasingly struggling to meet its full potential. A recent analysis indicates that market concentration, coupled with pervasive pricing distortions, is driving up the cost of poultry products, creating a dual burden for both producers and the average Zambian consumer. For years, the poultry industry has been a success story, offering a relatively accessible entry point for small-scale farmers and providing an affordable protein source for many households. However, this positive trajectory is now under threat. Large, dominant players in the market are reportedly exerting undue influence over pricing, from the cost of day-old chicks and feed to the final retail price of chicken meat and eggs. This creates an uneven playing field, making it difficult for smaller, independent farmers to compete effectively or even cover their operational costs. The ripple effect of these market dynamics is profound. Farmers, particularly those in rural areas who rely on poultry for their livelihoods, find themselves squeezed by high input costs and often low farm-gate prices dictated by larger buyers. This discourages investment and expansion, potentially leading to a decline in local production. Simultaneously, consumers in urban and peri-urban areas face escalating prices for what was once considered a staple, affordable protein. This inflationary pressure on essential food items exacerbates the cost of living crisis, disproportionately affecting low-income households across the country. Experts suggest that a lack of robust regulatory oversight and anti-monopoly measures may be contributing to the problem. While the Competition and Consumer Protection Commission (CCPC) exists to safeguard fair market practices, its effectiveness in curbing the power of a few dominant players in the poultry value chain is now under scrutiny. Add