After navigating various dynamics throughout 2025, the national poultry industry welcomes 2026 with optimism, accompanied by diverse opportunities as well as looming challenges.
The year 2025 served as a crucial learning period for the national poultry sector. Market dynamics throughout the year demonstrated that this sector is increasingly influenced by a combination of structural factors, policy, and market psychology. The various challenges that emerged not only tested the resilience of business players but also formed the foundation for adaptation heading into 2026.
In the first semester of 2025, the poultry industry faced heavy pressure due to low live bird (LB) prices at the farm level. A persistent oversupply condition, coupled with suboptimal market absorption, caused LB prices to fall below the farmers’ production costs (HPP). This situation squeezed profit margins and even resulted in financial losses for farmers. However, entering the second semester, LB prices began to show gradual improvement. This recovery persisted until the end of the year, aligned with production adjustments, improved market absorption, and more positive expectations regarding government policy. In contrast to broiler meat, egg prices remained relatively more stable throughout 2025, despite facing seasonal fluctuations.
One significant factor influencing market dynamics in 2025 was the Free Nutritious Meal (MBG) Program. Quantitatively, various stakeholders assessed that the absorption of poultry products by this program had not yet become significant relative to total national production. Nevertheless, its psychological impact on the market was substantial. The MBG program created new optimism, strengthened demand expectations, and provided a strong signal that the government views poultry products as a primary component of national nutrition. This sentiment contributed to withstanding price pressures and restoring the confidence of industry players.
As 2025 drew to a close, the industry’s dynamics did not simply subside. Data from the Central Bureau of Statistics (BPS) indicated that broiler meat and eggs serve not only as the community’s primary protein sources but also have a significant influence on economic stability and purchasing power. This was reflected in BPS records stating that in October 2025, eggs and broiler meat were the primary contributors to inflation, with the inflation rate recorded at 0.28 percent.
On the other hand, year-end dynamics were also marked by the threat of imported chicken leg quarters (CLQ) due to US trade tariff policies. Imported CLQ products, which hold a price advantage, have the potential to suppress local chicken prices and disrupt the domestic market balance. Simultaneously, the planned Rp20 trillion poultry investment through Danantara, focused outside of Java, has garnered various responses from national poultry stakeholders.
This article is an excerpt from the Lead Report section of Poultry Indonesia magazine, January 2026 edition. Read more in the Majalah Poultry Indonesia Edisi Januari 2026, For subscriptions or further information, please contact: https://wa.me/+6287780120754 or sirkulasipoultry@gmail.com.
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