Poultry
xClose

Loading ...
Swine
xClose

Loading ...
Dairy & Ruminant
xClose

Loading ...
Aquaculture
xClose

Loading ...
Feed
xClose

Loading ...
Animal Health
xClose

Loading ...
RSS
 
December 19, 2008
 
Thai Broiler Weekly: Supply surge brings chicken prices down (week ended Dec 18, 2008)
 
An eFeedLink Exclusive
 
 
Price summary

After being steady for two weeks, chicken prices fell marginally this week due to oversupply as farmers unload their stocks in anticipation of brisk pre-New Year's Day sales.
 
The farm price of live broilers has dropped to THB32-33/kg from THB33-34/kg last week, according to a survey by the Internal Trade Department. At public markets in Bangkok, chicken meat now sells at THB60-62/kg, down from THB62-63/kg last week. In the provinces, it sells at THB55-56/kg, the department said.
 
 
Market analysis
 
Despite sluggish domestic consumption caused by a big drop in tourist arrivals, the farm price of live chicken stabilized at THB33-34/kg the past two weeks because of good overseas sales.
 
Dr. Anan Sirimongkolkasem, president of the Thai Broilers Exporters Association, said that despite the current global financial meltdown, overseas shipments to both Japan and the EU, Thailand's main chicken markets, continued to register positive growths at least until the end of the year.
 
Next year, he said, export sales are expected to drop 5 percent as the global turns from bad to worse.
 
Meanwhile, after falling to as low as THB6.20-6.40 a kilogramme early this week, feed corn prices have started to go up after silo operators around the country agreed to store corn harvests for free for at least one month while farmers wait for the government to resume its price-support scheme.
 
In a bid to stabilize the price of local corn harvests, the government had been buying corn at a guaranteed price of THB8.50/kg, THB2 more than current market price. But the scheme recently ran out of cash after its quota of 500,000 tonnes was reached.
 
The scheme, started late October, was originally scheduled to run until Dec. 30. But officials said the quota was filled unusually quickly.
 
"There is thus a possibility certain crooked traders have smuggled products across the borders and used farmers' proxies to participate in the scheme," said Yanyong Phuangrach, director-general of the Internal Trade Department.
 
He added that he found it "strange that despite the buying programme, prices of maize have yet to improve."
 
In a deal brokered by local government officials, silo operators promised to buy the corn stored by them at prevailing market prices if the government does not resume its buying scheme within one month.
 

Markets

Prices
for whole dressed chicken

as of  Dec 11
(in Thai baht/kg)

Prices
for whole dressed chicken

as of  Dec 18
(in Thai baht/kg)

Changes
(in Thai baht/kg)

Supermarkets (Bangkok)

70-75

68-72

(2-3)

Public markets (Bangkok)

62-63

60-62

(1-2)

Public markets (Suburbs)

55-58

55-56

(0-2)

Farm gate 

33-34 (liveweight)

32-33 (liveweight)

-1

US$1=THB 34.46 (Dec 19)


All rights reserved. No part of the report may be reproduced without permission from eFeedLink.

Share this article on FacebookShare this article on TwitterPrint this articleForward this article
Previous
My eFeedLink last read