New Delhi: The production expenses of meat retailers in India have seen a rise owing to increasing poultry feed costs, particularly because of rising poultry feed costs. The prices paid by poultry farmers for maize, which accounts for 55-65% of broiler feed by weight have seen an increase in wake of crop stress from a weak monsoon and competing demand from ethanol producers, reported Mint.The Mint report added that prices paid by poultry farmers have increased to Rs 27-28 per kg in late September from Rs 12-14 in 2019. Maize is also widely used for the production of ethanol.After procurement costs increased by 10%, DSM Fresh Foods Ltd, which sells meat through its Zappfresh brand, hiked chicken prices by around 5% after procurement costs increased 10%. It also took a hit to its margins by absorbing part of the increase.Weak monsoon has also played its part. Narendra Pasuparthy, founder and chief executive of Nandu’s, estimates that maize production in Karnataka has fallen by 25% this season after drought-damaged crops.“Multiple reasons, of course, ethanol has taken some of the crop, and there is a drought, crop failure in Karnataka,” Pasuparthy said.Pasupathy added that at present there is a massive shortage of supplies, which are being brought in from Bihar, Uttar Pradesh and Maharashtra to make up for the shortfall.According to Crisil Intelligence, the cost of a home-cooked non-vegetarian thali rose to Rs 59.50 in September, up 6% year-on-year and 3% from August.Earlier, a poll of 19 economists conducted by Mint had revealed that India’s retail inflation may have increased to a 23-month high of 5.6% in September, further rising from 4.8% the previous month.