2018 brings new challenges for the Thai poultry industry
2018 will be a challenging year for the Thai poultry industry as the domestic demand remains weak, observed Rabobank analysts in their latest outlook for this sector.
A significant expansion led to oversupply in the last couple of months and, as a result, broiler prices fell by 12% in Q1 2018 compared to Q3 2017, mentioned the report quoted by Asian Agribiz.
Rabobank recommended the local industry must to stay “disciplined with its growth this year” in order to gradually recover to an appropriate market balance. Meanwhile, a chance to expand the country's market share on poultry exports is to be seen soon as Brazil's poultry industry is dragged into a new episode of the "rotten meat" scandal.
Russia and Thailand, producers who are now confronted with oversupply after industry expansion, will try to capture some of Brazil’s lost market share in global trade, believes Nan-Dirk Mulder, Senior Analyst – Animal Protein at Rabobank.
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