Poultry stocks abuzz after government allows soymeal import

New Delhi: Shares of poultry, egg and related companies were buzzing in trade on Wednesday after the government allowed import of soymeal.

India has relaxed import rules to allow shipment of 1.2 million tonnes of genetically modified (GMD) soymeal, the government said in a recent notification.

The move could help the poultry industry as animal feed prices have tripled in a year. The shipments need to be imported before October 31, the government said in a statement.

Following the development, shares of Venky's (India) surged 11 per cent to Rs 2,884.15 on Wednesday, whereas smallcap egg producer SKM Eggs Products zoomed 10 per cent to Rs 88.

Avanti Feeds jumped 7 per cent to Rs 575.7. Apex Frozen and Godrej Agrovet rallied 5 per cent each to Rs 267.80 and Rs 640, respectively.

Santosh Meena, Head of Research, Swastika Investmart, said the Indian poultry industry is likely to benefit from the ongoing changes in lifestyles and eating habits where organized players may continue to gain market share.

Poultry breeders were hit by several challenges and uncertainty over import policy.

"Globally we are seeing supply-side issues as well due to flood and flu," Meena added. He has picked Venkys and Avanti Feeds in this space.