May 29, 2020

 

US beef, chicken inventories in cold storage facilities soar in April

 

 

US beef and chicken inventories in cold storage facilities swelled in April, according to agricultural data provider Gro Intelligence, Freight Waves reported.

 

Beef inventories were 13.9% higher year-on-year in April and 6% above the five-year average, while chicken inventories were 6.1% higher than in April 2019 and 13.5% higher than the five-year average.

 

According to the report, the reasons for the surge in the inventories were restaurant closures amid the spread of COVID-19 and the inability of processing facilities to slow production despite weakened demand at the restaurant wholesale level.

 

Inventories of chicken breast and breast meat alone rose 33% year-on-year and 37.3% higher than the five-year average.

 

Pork inventories in April, meanwhile, declined 1.1% year-on-year to nearly 615 million pounds. They were 0.3% lower than the previous month.

 

The reason for the decline as per the Gro Intelligence report was "heightened exports in 2019 and early 2020". April pork stocks were 3.5% below the five-year average.