International

Poultry industry to recover in the second half of the year

Poultry

Market volatility in the global meat market will favour poultry as the "cheapest meat protein", said Rabobank analysts.

Posted on Jul 13 ,08:15

Poultry industry to recover in the second half of the year

The poultry industry has a chance to recover in the second half of the year as it has the advantage of producing the cheapest meat protein with a short and flexible production cycle, says the latest Rabobank outlook for the sector.
Prices will see some recovery after historic lows in 1H. Breast meat should benefit from the reopening of foodservice, although trade will remain difficult. Dark meat will likely do better. Supply in some markets will be tight, due to reduced parent stock.

“Volatility could be exacerbated by ongoing challenges to balance supply and demand and by exchange rate instability. On the other hand, the relatively bearish feed price outlook will provide producers some relief on the cost side of their businesses,” says Nan-Dirk Mulder, Senior Analyst– Animal Protein.

Global trade will remain unstable in 2H. Although demand will recover, supply-demand imbalances, exchange volatility, and access issues could distort trade flows. A trend of buying local may also have an impact. Trade agreements and restrictions have the potential to keep shaking up global trade flows as well. The US-China trade relationship, Brexit, and a move in the Middle East to further improve food security are the main factors that could disrupt global poultry trade.

 NEWSLETTER - Stay informed with the latest news!

Comments





Similar articles

China

China: ASF situation stable, but the risks persist

Chinese official warns about the risks of another ASF epidemic wave in the country, although the ...


Read more Read more
Spain

Spanish region to limit animal farms number for 4 more years

Local authorities in Catalonia have issued a Decree Law by which it will limit for four more year...


Read more Read more
France

Downward trend in French pig prices

Pig prices in France are sliding and the trend is to remain, as Germany reported recently ASF out...


Read more Read more
Websolutions by Angular Software and SpiderClass