May 11, 2026
 

Thai poultry exports under pressure as China plant suspensions and Middle East conflict hit key markets

 
 

 

Thailand's chicken export industry faces its most difficult year since 2025 as simultaneous disruptions in its two largest growth markets reduce access and drive up costs across the supply chain.

 

Thailand's chicken exports fell 2% in January and February 2026 and are expected to decline further for the full year, as China suspended import approvals from the majority of Thai processing plants and the Middle East conflict disrupted regional trade routes and pushed up production costs.

 

Kukrit Areepakorn, manager of the Thai Broiler Processing Exporters Association, said China had reduced the number of approved Thai processing plants from 22 to five, following stricter hygiene and production standard inspections. Exports to China, which totalled 100,000 tonnes in 2025, are expected to fall to 40,000–50,000 tonnes this year. The Department of Livestock Development is currently in negotiations with Chinese authorities over the suspensions. Areepakorn noted that China's tightening of import standards reflects its expanded domestic production capacity in line with government policy to reduce reliance on imports, though he said Thai plants remain ready to resume exports immediately if approvals are reinstated.

 

The Middle East conflict has effectively closed off that market entirely, with exports previously at 20,000 tonnes expected to fall to zero this year. The conflict has also forced Thai exporters to reroute shipments to the United Kingdom and European Union via the Cape of Good Hope, significantly increasing freight costs. Reduced crude oil production in the region has created a plastic shortage that is affecting packaging operations, including for Japan — Thailand's largest single export market at approximately 500,000 tonnes annually, or around 40% of total export volume.

 

Higher oil prices have also pushed up animal feed ingredient costs, with both corn and soybean meal prices rising as a result of drought and transport disruptions.

 

Thailand exported 1.3 million tonnes of chicken worth THB156 billion (US$4.3 billion) in 2025. Key markets include Japan at 500,000 tonnes, the EU at 170,000–180,000 tonnes, the UK at 200,000 tonnes, Malaysia at 110,000 tonnes and China at 100,000 tonnes. Full-year exports across all markets are expected to decline compared with 2025.

 

- Nation Thailand

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