April 21, 2006

USDA buys chickens to aid industry

USDA intends to purchase up to US$32.5 million worth of chicken leg quarters and products for distribution through the National School Lunch Programme and other domestic food assistance programmes.

The programme comes at a time when poultry stocks are piling up in warehouses as poultry companies are facing difficulties exporting the product.

The amount purchased by USDA will depend on the quantities offered, prices bid, and recipient requirements.

These purchases will help reduce the burdensome levels of leg quarters currently in cold storage, USDA said in a news release.

Purchase details would be mailed to the industry following an announcement of the start of the purchase programme.