Poultry International - July 2018 - 24
24 ❙ PoultryInternational
South African feed sales down
as poultry sector suffers
Faced with imports, avian influenza and drought, weaker demand from
South Africa's poultry producers pulls feed sales down.
Million metric tons
South Africa's poultry feed sales
by sector 2016-18
*Estimate; ** Forecast
Source: Animal Feed Manufacturers Association
The biggest threat to demand for poultry feed is high
levels of imported poultry meat. | donvictorio, Shutterstock
Sales of animal feed in South Africa last year contracted for the first time in the history of the Animal
Feed Manufacturers Association (AFMA).
While demand for feed from across livestock sectors was lower, it was from the poultry industry - accounting for more than 60 percent of sales and hit by
growing imports, avian influenza and drought - that
demand was particularly weak, leading to AFMA
reporting sales of 6.477 million tons, a decrease of 6.2
percent compared with the year before.
While 2017 saw demand for broiler feed fall by 5.3
percent last year, and that for layer feed decrease by 3.5
percent, weaker demand for poultry and other feed can
be traced back further than 2017.
After declining in 2017, demand for broiler and
layer feed is expected to grow in 2018. However,
for broiler breeders, decreasing sales are
expected to continue.
Demand for livestock feed had been continually
growing up until the start of the financial crisis of
2008-09. However, with the downturn, demand began
to weaken, with reported sales only rising due to new
members joining the association.
In 2012-13, the first real impact on the poultry industry of higher levels of imported broiler meat began to
be felt, and the association cites imported chicken meat
as continuing to be the biggest threat to the sector. In a
double hit, its impact began to be felt at the same times
as the agricultural sector faced the worst drought in its
Statistics from the country's Department of
Agricultural Economics reveal that, in 2016, South
Africa imported 528,506 tons of chicken meat, up from
www.WATTAgNet.com ❙ July 2018