Poultry International - March 2018 - 7
PoultryInternational ❙ 7
efited from relatively stable feed costs throughout
2017, and this stability is expected to continue during the year ahead.
While the Brazilian economy may be improving, there remains a degree of political uncertainty,
with general elections due to be held in the third
quarter of the year.
Egg and turkey outlook
Brazilian egg production is expected
to expand by 5-6 percent this year. No
significant increase in production costs is
forecast, and demand will be helped by
the turnaround in the Brazilian economy. It
cautions, however, that increasing export
demand may put pressure on supplies
Egg production is thought to have
risen by 1.8 percent last year to 39.9
billion units. Per capita consumption also
increased in 2017 by 0.8 percent to 192
Strengthening international markets
The Brazilian chicken industry sells approximately one-third of its production into export markets, and demand for product from overseas should
be stronger this year. ABPA believes Brazilian
chicken meat exports will end 2018 1-3 percent
higher than 2017's 4.32 million tons, and potentially reaching a new record high.
It notes that that there will be a continued recovery in demand from the European Union, China
and other Asian markets, and that demand from the
Middle East will also strengthen this year.
Where China is concerned, the association also
hopes that more plants will receive Chinese export
certification and will start shipping. There also are
hopes of resolving difficulties in the Taiwanese
Exports are expected start to El Salvador and
the Dominican Republic, and ABPA remains hopeful that it will be able to start selling to Nigeria,
rather than relying on the government to open a
World Trade Organization (WTO) panel.
units. Exports, however, were significantly
In 2017, turkey production rose by
6.1 percent to stand at 390,000 tons,
however, like the egg sector, exports fell
significantly by volume and by value.
Looking toward the end of the year, there may
be a small impact on exports resulting from the
WTO ruling against Indonesia's restrictions on
imports of products of animal origin, but the full
of effects of this are not expected before 2019. Also
looking longer term, it is hoped that there may be
progress in restarted Mercosur-EU trade talks.
However, all may not be positive for the world's
Brazilian chicken meat exports 2008-18 (million tons)
* 2018 estimated
Source: MDIX/SECEX/ABPA/WATT Global Media
With the hygiene scandal firmly behind it and the global economy growing strongly, Brazilian chicken
meat exports are expected to gain ground around the world. Photo courtesy Portonave
March 2018 ❙ www.WATTAgNet.com