May 16, 2008

Pilgrim's Pride CEO hopes for 4 percent production cut in industry

The CEO and President of Pilgrim's Pride Clint Rivers said he hopes the chicken industry would continue to reduce production to help the industry become profitable again.

"I'd like to see a 3 to 4 percent (industry-wide) cut," Rivers said during the BMO Capital Markets' Agriculture and Protein Conference in New York.

Fieldale Farms Corp., Simmons Foods, Cagle's and with Pilgrim's Pride are among the chicken companies that have announced production cutbacks this year.

Rivers also emphasised the importance of being prepared for what the grain markets might bring. He said corn might go up to US$8.