July 15, 2005

 

USDA: Mexico poultry annual report

 

 

Mexico's poultry industry is expected to continue growing during MY 2006 (Jan-Dec), as the trend towards vertical integration in the chicken industry continues. Imports of U.S. poultry and poultry products are expected to increase as well. 

                                                                        

However, Chile has emerged as a significant supplier of frozen poultry used for further processing in recent years as Mexican importers have sought to diversify their suppliers in response to recent disease detections in the United States. Sanitary import restrictions due to avian influenza detections in the United States continue in nine U.S. states.

 

Chicken meat production is again expected to increase in 2006. Growth in chicken production continues to outstrip both beef and pork, as Mexico's rapidly growing poultry industry becomes increasingly concentrated, integrated, and modern. 

 

The industry appears to have benefited from the safeguard agreement that was signed in July of 2003 and establishes a tariff-rate quota for imports of U.S. chicken leg quarters (CLQ). 

 

Producers are now taking steps to improve quality and sanitary practices while seeking export opportunities. Mexico still does not have an equivalent agreement with USDA's Food Safety Inspection Service that would allow for exports of domestically produced poultry meat and egg products to the United States. However, officials are working towards this objective. 

 

Imports of chicken meat are expected to increase in 2006 in response to strong demand from Mexican food processors for mechanically separated meat and parts for further processing. CLQ imports are almost filling the annual zero-duty tariff-rate quota volume established under the safeguard agreement, despite being limited to the border area.

 

Sanitary restrictions remain in place for certain U.S. states following the detection of low pathogenic avian influenza during 2004. At this stage, it is not clear when these restrictions will be lifted. 

 

MEXICO: POULTRY NUMBERS, 2004
Type of Bird	Head
Laying Hens in production*	124,196,390
Pullets in grow out	37,258,917
Light Breeding Hens in production	909,034
Light Breeding Hens in grow out	382,773
Light Progenitor Hens in production	0
Light Progenitor Hens in grow out	0
Heavy Breeder Hens in production	9,157,000
Heavy Breeder Hens in grow out	5,989,000
Heavy Progenitor Hens in production	161,368
Heavy Progenitor Hens in grow out	100,432
Broilers (Per cycle)	240,549,554
Total Poultry Flock	419,514,927

*There are an estimated 30 million laying hens in the second cycle

Source: UNA  (National Poultry Association)

 

For the full USDA report, click here.