The prices of local poultry in Jeddah's markets have dropped by 10 percent, signaling the start of a downward trend in prices of this vital product. Dealers in the poultry market attribute this drop to a decrease in costs and a large drop in the price of frozen poultry especially that imported from Brazil. Hamdi, who is in charge of a poultry shop, expects further price cuts with the low demand for chilled chicken following the big drop in the price of frozen chicken and the stiff competition among national poultry companies. These companies had not expected any drop in the price of imported frozen chicken so they increased production and expanded their projects. Hence, supply surpassed demand forcing the companies to offer discounts. The drop has also affected egg prices bringing them down to SR12 per tray for large eggs and SR10 per tray for small eggs. Meanwhile, citizens and expatriates still consider the prices to be high and unreasonable amidst stiff competition in the market with alternatives for frozen chicken imported from many countries. Sa'eed Abdullah Al-Harthi, a Saudi national who has a large family, said the price of chicken is unjust. “A glance at the cost price, the subsidies and the support the state provides to the poultry industry and the drop in prices of chicken feed, will reveal that the prices are unreasonable and are greatly exaggerated,” he said. Salim Al-Harbi, another citizen, said to achieve fair prices for chicken, they must return to the pre-2007 levels considering that the cost of the product has decreased greatly while the prices in the market have dropped by a mere 10 percent.
