The Ministry of Economy (MoE) in the United Arab Emirates has authorized a temporary hike in eggs and poultry product prices, and that it will be revised again in six months.
After conducting a study to verify the companies’ demand, the MoE found a price hike of 13% to 20% reasonable. The results were submitted to the Supreme Committee for Consumer Protection at both the federal and local levels, which recommended a 13% maximum increase.
The decision was taken following a request submitted by several companies operating in the sector, citing high production and shipping costs, and an increase in prices of imported raw materials like fodder, leading to losses.
Poultry products come under essential commodities in UAE, and the Ministry’s decision will have a positive impact on the sector’s stability. Meanwhile, the 13% cap will protect consumers from excessive price hikes.
According to the Ministry, a 13% price increase for eggs and poultry products is fair because prices are high globally and regionally.
The Ministry considered the cost of raw materials like fodder, fuel, and vaccinations used in egg and poultry production along with the high cost of importing these products from countries like Russia and Ukraine, which are the main suppliers of grains in the feed industry worldwide.
