Elevated manufacturing constrained by avian influenza outbreaks
7 September 2023
2 minute learn
Improved shares at poultry breeder services and decrease feed costs are forecast to extend Mexico’s rooster meat manufacturing by 2% in 2024, in line with a current US Division of Agriculture (USDA) International Agricultural Info Community (GAIN) report.
Manufacturing is forecast 2% larger from 2023 to three.9 MMT on a projected modest decline in feed costs and robust home demand. Elevated biosecurity measures applied to forestall illness outbreaks within the aftermath of the outbreak of extremely pathogenic avian influenza (HPAI) in 2022 and elevated investments in broiler genetics are anticipated to help elevated manufacturing.
For 2023, manufacturing is estimated 1% larger from 2022 at 3.8 MMT. Comparatively much less elevated grains costs mixed with a record-level appreciation of the Mexican peso are estimated to decrease producer prices and spur elevated manufacturing. Nonetheless, massive will increase to manufacturing are constrained by continued restoration from the 2022 HPAI outbreak which resulted in culled breeding flocks. Whereas Mexico made investments into broiler genetics, additional will increase to manufacturing will not be anticipated till 2024.
As of June 2023, SIAP experiences 1.6 MMT of rooster meat manufacturing. Hen manufacturing is unfold throughout Mexico, with sixty p.c of reported manufacturing to this point this yr coming from the states of Veracruz, Jalisco, Aguascalientes, Queretaro, Durango, and Guanajuato.
Mexico is at present the sixth largest rooster meat producer globally and meets near 80% of home rooster meat consumption. Over the past ten years, home rooster meat manufacturing has grown greater than 30%.
Whereas imports expanded 45 p.c throughout the identical interval, they’ve continued to account for 20 p.c of home consumption, indicating that progress in imports will proceed to be tied to and constrained by total consumption progress.
Mexico’s competitiveness as a poultry producer is pushed by the provision of native labour and entry to a price-competitive provide of considerable feed grains and oilseeds, co-products equivalent to distiller’s dried grains with solubles (DDGS), and different inputs together with poultry genetics from the US.
