Raising Livestock in Azerbaijan Is Becoming Less Profitable

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AZE.US

Raising livestock for meat is becoming less profitable for farmers in Azerbaijan as feed prices rise, hay becomes harder to find and the number of animals kept in the country continues to fall.

Farmers in several regions say the math behind meat production has become tighter. The final price consumers see in shops and markets begins much earlier, with the cost of hay, barley, compound feed, transport and months of daily labor.

Farmers from Tovuz said the sale of one animal can bring up to 300 manats ($176) in profit, depending on its weight. But the cost of fattening the animal can reach 400-500 manats ($235-$294), mostly because of feed and hay.

One farmer said it takes about 6 months to raise a calf for sale, with expenses of roughly 400 manats ($235). At wholesale prices, cattle may sell for 14-15 manats ($8.20-$8.80) per kilogram, while direct sales by weight can reach 16-17 manats ($9.40-$10) per kilogram.

Farmers say the problem is that many animals are bought cheaply at the farm gate, while feed costs keep rising. Selling directly may bring a better price, but not every farmer has that option.

In Ujar, farmers estimated the direct cost of fattening one animal at about 600 manats ($353). To bring an animal from 50 to 100 kilograms of added weight, they said, a farmer may need at least 50-60 bales of alfalfa. At around 7 manats ($4.10) per bale, that part alone can cost about 350 manats ($206).

Barley, compound feed and other costs add more pressure. One farmer said 150 kilograms of barley can cost about 100 manats ($59), while extra feed may add another 65 manats ($38).

The profit left after all that work can be painfully small. One farmer said that even if an animal sells for 1,200-1,300 manats ($706-$765), the owner may be left with only 80-100 manats ($47-$59).

Farmers in Sabirabad gave a similar picture. They said keeping a calf for about a year can cost 1,500-1,700 manats ($882-$1,000). In some cases, the sale price only covers the money spent on raising the animal.

Economist Khalid Kerimli said one of the reasons behind rising meat prices is the decline in the number of animals kept in Azerbaijan.

According to him, the country had 2.651 million head of cattle in 2021. By 2025, that number had fallen by 7.4% to 2.454 million.

The number of sheep and goats also declined. Azerbaijan had 8.09 million small ruminants in 2021, but by 2025 the figure had dropped by 15% to 6.887 million.

That decline affects how much meat reaches the market. With demand stable or rising, lower supply pushes prices higher.

Meat prices are not shaped only at the market counter. They are built through the whole chain: feed, animal care, slaughter, transport, middlemen and retail margins. For farmers, that means the pressure starts long before the customer sees the final price.

AZE.US

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