Argentina reports decrease in poultry consumption
2018 doesn't have any good news for the Argentinian poultry industry. Per capita consumption is down to 42.2 kg, exports have fallen by 16.5% and a decrease in slaughtering has already created big problems for some companies, according to a report from eFarm News.
The rise in the feed prices, the rise in the energy cost, labour and other inputs, added to a weak demand is running industry to collapse. Some industries are plunged in a deep crisis, like Rasic, the former second largest poultry company in the country, BRF, which had acquired Avex in Cordoba Province, and EcoAve, a medium size company in Buenos Province.
Figures in the slaughterhouse are down by 4.7%, but in some provinces, such as Buenos Aires or Cordoba, the decrease reached 12% and 20%, respectively. In the first half of 2018, industry processed 345 million head, versus 364 in 2017.
Also, the exports are plunged in the latest month. At the beginning of the year, industry exported 20,650 tons versus 21,356 in 2017, a fall of 3.3%. But in May, exports had collapsed to 12,099 tons versus 22,180 in 2017, a fall of 46% interannual. The decline of the sector has convinced Brazilian BRF to sell its Rio Cuarto plant, probably to the largest poultry firm in Argentina, Granja Tres Arroyos.
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