Rabobank research has predicted that lower production costs will boost the global poultry market’s prospects, despite ongoing concerns about potential avian influenza outbreaks.
Cheaper grains and oilseeds are boosting poultry value chains, while global trade has continued to grow, reaching 3.5m metric tons in the first quarter of 2023.
Additionally, the global supply balance has been stable at the same time that prices for alternative proteins such as pork, eggs and beef remain high.
This in turn could make poultry products more appealing to consumers, who continue to be impacted by rising costs.
Animal protein senior analyst at Rabobank Nan-Dirk Mulder said that key markets were set to increase their import volume as a result of the lower prices.
"Global feed prices are expected to continue declining, with projected costs for 2023 estimated to be 10% to 15% lower than the historic highs of 2022,” Mulder added.
Lingering concerns around bird flu
While the outlook is largely positive, the report warned that Highly Pathogenic Avian Influenza (HPAI) outbreaks in China and Brazil remain a possibility.
Brazil experienced a 17% year-on-year increase in poultry exports during Q1 of 2023, but importers have already started with precautionary measures to protect against a future outbreak. Turkey, Argentina and Chile have all faced trade restrictions as a result of HPAI.
"Brazil, especially its poultry-producing southern states, remains at high risk should an HPAI outbreak occur in commercial flocks," Mulder said.
You may also be interested in reading Food Manufacture’s summary on the recent British Meat Processor’s Association annual gathering which explored Meat Industry 2.0 and the role of automation and lab grown meat in the future.
