(NAFB) — Despite a recent increase in the cost of feed and softness in the price of breast meat, chicken producers are expected to prosper over the rest of 2019. An industry analyst who spoke with the website Meating Place Dot Com, said turkey prospects are progressing, albeit at a slower pace. Poultry supplies are remaining manageable in 2019, with wings and leg quarters selling well above last year’s prices.
A cooler-than-normal spring resulted in higher bird weights this year, putting some price pressure on boneless chicken breasts in the near term. Analysts say warmer summer temperatures will likely turn that around. However, it was wetter and hotter spring weather that resulted in late crop plantings that have led to a rise in the cost of feed. While the African Swine Fever has been hard on the pork industry, the impact on poultry demand will be a “multi-year positive for the protein industry.”
Analysts say an expected shortfall in pork products from the deadly disease should prompt shifts among consumer diets on a global basis. The pace of recovery for the turkey industry’s profitability remains slower than anticipated. The analysts who spoke with the trade industry website say they “remain optimistic” about supply cutbacks and rising global demand for other proteins because of the ASF outbreak.
Source: National Association of Farm Broadcasters