Poultry feeds dominate stockfeed industry
The manufacturing of poultry feeds continued to dominate the stockfeed industry during the fourth quarter of 2016 with a monthly average of 29 394 metric tonnes worth $16,8million, an industry official has said.
Zimbabwe Poultry Association chairperson, Solomon Zawe revealed that poultry feeds accounted for 66% of all feeds produced by weight and 73% by monetary value.
“Over the period October to December 2016, the manufacture of broiler starter and layer feeds decreased compared to the same period last year,” he said.
In the period under review, manufacture of broiler starter, layer rearing and layer production decreased by 14%, 37% and 28% respectively.
Grower feeds remained flat while finisher feeds increased by 2%.
Except for wheat bran and methionine, Zawe said prices of raw materials procured in the fourth quarter of 2016 increased compared to prices in the third quarter.
He said average weighted broiler and layer feed prices in the fourth quarter were $686 and $481 per metric tonne, respectively, being 4% and 2% higher than prices in the third quarter of 2016.
Zawe lamented that the stockfeed industry continues to express grave concerns regarding the ability to service foreign bills to procure essential feed inputs (maize, soya, essential amino acids, minerals and vitamins).
The effect of delays on foreign payments has led companies to struggle to meet production deadlines, slowing production and in turn affecting revenue streams.
Since mid-last year, liquidity shortages have grown on a monthly basis on the back of increased demand for the United States dollar.
To curb the challenge, Reserve Bank of Zimbabwe governor, John Mangudya in February revealed that a $70 million nostro stabilisation facility would be disbursed to deal with current delays in foreign payments.–newsday