July 18, 2008

Brazil is expected to produce more chicken meat than China therefore becoming the world's second-largest chicken meat producer behind the US by the end of 2008, according to a sector official in Sao Paulo.
 

Brazil is likely to exceed China's chicken production which has become stagnant at 12 million tonnes per year, according to Francisco Turra, president of the Brazilian Association of Chicken Producers and Exporters (ABEF). On the other hand, Brazil's chicken industry has been able to expand its activities to meet domestic and overseas demand despite record high corn prices, Turra said.

Turra said Brazil could end the year with chicken production at 12.5 million tonnes.

Brazil is less affected than other countries by the rise in prices of raw materials as the country has a corn surplus and will have up to 10 million tonnes for export this year, according to Turra.

Brazil also expects to export about 800,000 extra tonnes of meat this year, with total exports of nearly 4 million tonnes generating revenue of US$6.5 billion, up US$1.5 billion from last year.

Turra said Brazil is looking to export chicken meat to China directly if the Asian country is having difficulties increasing production of chicken meat.

Brazil currently exports to China through Hong Kong but both countries are negotiating for a direct-export deal.