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The Food Security and Global Supply Chain Puzzle: Why Warehouse Inventories Aren’t Enough to Stabilize Feed Markets

Mr. Ali Asadollahzadeh, Board Member of the Specialized Association of Livestock and Poultry Feed Distributors

In global livestock and poultry feed markets and developing economies, the core challenge of food security extends far beyond import volumes or warehouse inventories; it is deeply tied to the fragility of supply chain structures, cash flow velocity, and financial predictability. When shifts in currency policies and rising international logistics costs collide with ambiguities in fulfilling commitments through electronic distribution systems—such as the domestic Bazargah platform—raw material supply chains are disrupted. Consequently, the private sector is forced to divert its capital from infrastructure development toward risk management and structural uncertainty.

 

To address these challenges and safeguard protein production, strengthening enforcement guarantees within trading platforms to precisely determine delivery timelines and accountability for supply delays is essential. Alongside this, supporting working capital for importers and ensuring regular settlement of receivables prevents the freezing of financial resources and maintains international trade credibility. Furthermore, recognizing professional distributors as key links in facilitating cash flow velocity guarantees a precise bridge between importers and production units. Establishing alignment between production costs and market conditions also ensures that the profitability of economic actors remains unharmed. Ultimately, this phenomenon demonstrates that for the sustainability of feed trade, momentary commodity injections are insufficient; rather, a cohesive package of regulatory stability and commercial transparency is required.

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