Report says 3rd quarter poultry market remains bullish
A new report from Rabobank says the global poultry outlook remains bullish despite higher costs for producers and consumers.
Even with higher prices due to inflation, Christine McCracken with RaboResearch tells Brownfield that consumer demand for chicken is strong. “Partially driven by the fact that you really have more expensive beef products right now and people are taking advantage of the fact that they can find some of this lower-cost poultry in the stores from time to time, and are really taking advantage of some of that feature activity that we’ve seen here lately.”
McCracken says avian influenza did impact some of the poultry sectors more than others. “The broilers have been largely unaffected by high path (avian influenza) but where we have seen a big impact is on layers, obviously, on the egg markets. We’re at record highs on eggs right now and that’s really counter-seasonal. We’ve also had a big increase in turkey, deli meats, specifically.”
McCracken says labor shortages in some geographic areas and other issues have affected the poultry supply chain but, “I would say that things have actually gotten pretty normal, at least in terms of availability and getting the product to market. There’s always hiccups.”
The RaboResearch global poultry report for the third quarter was released this week.