December 5, 2007

Production hike seen for US '08 poultry and egg

Broiler, turkey and egg segments in the US will all see production increases for 2008, according to the Economic Research Service of the US Department of Agriculture (USDA).

US turkey production was up 4.9 percent in the third quarter of 2007 as against the same period last year due to a 3.2 percent increase of birds slaughtered in average liveweight to 27.9 pounds.

Mexico remains the key market for US turkey with exports amounted to a total of 2 million pounds for September. This is a decrease of 4 percent from the previous year due to higher prices for exports.

For 2008, slight increases in production are projected - turkey meat production is forecast at 5.94 pounds due to a build up of turkey stocks in the last two quarters of 2007.

On the other hand, broiler meat production is expected to increase 3.7 percent from in the final quarter of 2007 to 9.125 pounds. This is also due to higher number of birds being slaughtered and an increase in liveweight - such as in the case of turkeys.

Broiler production is set to increase in 2008 with domestic per capita consumption at 86.8 pounds.

At the end of this year, wholesale egg prices are forecasted to average between US$1.18 and US$1.22 per dozen - representing about US$0.30 cents per dozen higher than in the last quarter of 2006.

Egg prices for 2008 are expected to average between US$0.90 and US$0.96 per dozen. Downward pressure is predicated on prices due to expanding production and lower exports.

Broiler shipments in the first three quarters of this year totalled 4.181 pounds compared to 3.801 pounds posted on the same period last year due to higher export volumes to Russia, China, Angola and the Caribbean.