February 10, 2006

China's broiler exports expected to rise

In USDA's latest report on Chinese poultry and products dated Feb 1, China's broiler production for 2006 is predicted to increase 1.5 percent to 10.4 million tonnes. In 2005 due to bird flu concerns, domestic wholesale prices decreased by 15.8 percent for live chickens and 10 percent for broiler meat. However, the Chinese broiler industry enjoyed low feed prices, favourable policies supporting productions and increasing exports.

The report stated China's broiler imports for 2006 are predicted to increase 25 percent to 275,000 tonnes. This is largely due to tariff reduction on popular chicken wings, the slow increase of domestic production and a favourable US dollar exchange rate. China suspended poultry and pork shipments from 13 US meat establishments due to detection of pathogens in shipments. 

Due to strong demand from Japan, China's broiler exports in 2006 are predicted to reach 470,000 tonnes, an increase of 31 percent over the previous year. China's main export markets are Japan and Hong Kong. Japan and China have an agreement which states that if the 35 plants approved by Japan to export broiler meat are free of bird flu, Japan will continue importing poultry from China. 

For the full USDA report, click here.