July 11, 2017
China Broiler Weekly: Sharp rise in China broiler prices (week ended Jul 4, 2017)
An eFeedLink Exclusive
Prices rose further.
AA broiler prices strengthened as supplies diminished further while the sales of chicken continued to improve. Prices surged 5.9% on average.
As prices of AA broiler rose prominently, farmers were more confident to build inventories. Prices of day-old chick surged RMB0.50-0.60/chick to the range of RMB1.20-1.60/chick amid tight availability.
China breed broiler
Prices of native broiler soared as heavy rains resulted in higher mortality losses in several parts of China. On average, prices surged 15% during the period in review.
Farmers were reluctant to expand inventories as farming conditions were challenging. Prices of chicks stayed flat as a result.
As the demand for chicken is fundamentally slow, prices of broiler are expected to stabilise.
Prices of AA chicks are less likely to rise strongly after the recent round of sharp hike. Meanwhile, the demand for China breed chicks should remain limited as farmers tread prudently.
RMB=US$0.14670 (Jul 11)
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