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Friday / November 22.
HomeAgribusinessCost of doing business has tripled – PAZ

Cost of doing business has tripled – PAZ

The prolonged hours of load shedding in Zambia have taken a devastating toll on the poultry industry, with the Poultry Association of Zambia (PAZ) Executive Manager Dominic Chanda revealing that costs have tripled for some businesses.

Chanda said this increase is primarily due to the expensive alternative energy sources that companies have been forced to adopt.

He noted that small businesses, particularly those providing incubation services for village chickens, have been severely impacted, with many closing down adding that these businesses are unable to invest in alternative energy sources, making it impossible for them to continue operations.

He also said the reduced purchasing power of consumers has also affected the industry, with families opting to buy chicken daily instead of in bulk.

He explained that this shift has put pressure on farmers to keep chickens longer than necessary, increasing production costs. Unfortunately, farmers have not been able to increase prices due to consumers’ limited disposable income, resulting in significant losses.

“Other people who have invested in other alternative sources of energy which is more expensive , are enduring three times the cost of grid meaning that every output that is been produced is at a higher cost than the previous one hence there is higher chance of seeing some adjustments in prices .”