BUFFALO MEAT PRICE UP 14% IN A WEEK ON LOWER AVAILABILITY

Exporters body asks govt to rethink ban on selling cattle for slaughter, points to job losses

Buffalo meat prices have surged by 14 per cent in the past week due to lower availability of animals for slaughter, in the wake of government sale restrictions, notified by the Centre on May 24.

Around the national capital, buffalo meat is sold at ~150-160 a kg, a rise of ~15-20 in a week.

The meat and leather industries, with cumulative export of $10 billion annually, are likely to be hit hard. That includes the many jobs in these two segments.

“Because of weak availability, buffalo meat export has also declined over the last few weeks,” said Bushran Zakariya, Director, Zakariya Agro, a buffalo meat retailer and exporter based in Delhi.

The prices of chicken and goat/sheep meat have also jumped by ~20-30 a kg, due to a sharp increase in their demand following the shift of consumers from buffalo meat. To compensate for lower supply, Indian exporters are seeking $5075 a tonne more from foreign buyers for spot booking.

According to Mohammad Zubair Nagani, director of M U N Agro Industries, a Vashi-based meat producer, prices of all meat products have jumped by up to 20 per cent since the buzz began on animal slaughter clamps.

Buffalo meat and live animals prices in international markets have also risen. Live cattle futures for near-month delivery have jumped by 5.2 per cent since May 24, to US cents 126.2/lb.

The calendar year has seen a jump of 8.7 per cent.

“Around 90 per cent of meat supply is procured from the marketplace. We also presume a major chunk of leather consumption is dependent on markets. Hence, the impact of the ban on animal slaughter would be felt in the months to come. We have written to the government on these concerns, especially given their priority on job creation,” said Ajay Sahai, director-general of the Federation of Indian Export Organisations.

Official data shows India’s overall meat export declined by 11 per cent to 85,119 tonnes in volume and 10.5 per cent in value to $257 million in April. Buffalo meat is a fourth of overall agricultural export.

“We have developed the industry to this level over several years. The industry is working with the government to take buffaloes out of this legislation, which we believe the government would do. Since the implementation time given is three months for a ban on sale, a majority of abattoirs and animal mandis are currently working as usual,” said Qaiser Hussain Qureshi, proprietor of Marhaba Frozen Foods, a Delhi-based dealer of frozen food and buffalo meat exporter.