THE Jamaica Broilers Group says the large volume of chicken neck and back being imported into the island is undermining local production, not just for the company but for thousands of backyard chicken farmers.

While admitting that the company cannot, by itself, satisfy local demand, Group Vice President of Accounting and Information Systems Donald Patterson said the doubling of imports over the last three years has created an unbalanced playing field for local producers.

“There used to be a level of equilibrium where people could get their chicken neck and back and Jamaica Broilers, as well as other processors and small farmers, could supply our locally-grown, and processed chicken,” Patterson told the weekly Jamaica Observer Monday Exchange of reporters and editors at the newspaper’s head offices in Kingston.

However, he said all that changed in the last three years with the major spike in imports of the cuts.

“At a certain level of importation there is an equilibrium, so those who are in need and need to use the back and neck for their soup and stew, and so on, can do so, and there are people who buy it and mix with local chicken; but when you get that disproportionate level of imports such as when you double the importation, we see the local industry coming under pressure,” he argued.

“There are even instances where we saw other parts such as leg quarters, wings, etc, being mixed in with the imported neck and back,” he disclosed.

He said a reverse of the import volumes to the 2009 level is needed to provide some balance to the poultry industry. This can be achieved if the Ministry of Agriculture limits the number of licences given to importers to take in this product.

“The small farmers are feeling it because there are 10,000 to 11,000 backyard farmers and when you think of the multiplying effect, you are talking about 50,000-60,000 people who are impacted by high level of importation into Jamaica,” he explained.

Meanwhile he said, in some respects chicken neck and back being imported from the United States could be classified as “dumped product” as those parts are not consumed in that market.

In the US, Patterson said the whole bird is harvested for the breast meat which is sold at a premium price and this is almost sufficient to cover the full cost of growing and processing the bird.

The other parts such as the leg, wing and thigh also have a lucrative market.

“When they cut up that bird, the carcass that is left is a by-product which grows in inventory and the US looks for markets around the world to take it. Russia used to be a heavy importer and there are some other countries that take it, as well,” he explained.

However, Patterson said the price for the chicken neck and back is determined by what is happening with the offtake.

“From time to time the price for the neck and back go very low and everybody will jump into the game and they will try to get a licence from the Ministry of Agriculture to import it into Jamaica,” he said.

However, when a large amount floods the local market, then local production is undermined.

Meanwhile, although Jamaica Broilers imports a variety of other meats for retail sale, it is not allowed to import chicken neck and back.

“We are not allowed to import chicken neck and back, so it is small importers and those who are in the know, who get these licences from the Ministry of Agriculture to import it,” he said.