The Competition Commission of Pakistan (CCP) has initiated an inquiry into the sharp 250% increase in the prices of Day-Old Chicks (DOC), which surged to Rs220 per chick from an average of Rs50-60. The CCP has advised hatcheries to refrain from engaging in anti-competitive practices as outlined in the Competition Act 2010.
In response to complaints of price manipulation and potential collusion, the CCP has directed hatcheries to provide detailed price records for recent months. The Commission is assessing whether the disproportionate price hike, which occurred without significant changes in market dynamics, stems from unlawful practices by DOC producers.
The investigation has highlighted regulatory gaps in the poultry sector, as DOCs are not included in the essential commodities list maintained by provincial livestock ministries. Unlike broiler chicken, whose prices are regulated by district authorities, DOC pricing remains at the discretion of suppliers, raising concerns over transparency and accountability.
The CCP previously addressed similar issues in December 2021 when it uncovered allegations of price fixing and cartelization involving eight DOC-producing firms controlling over half the market. Show Cause Notices were issued, and hearings are ongoing.
This development underscores the CCP’s commitment to maintaining fair competition and protecting consumer interests in the poultry sector.
