Thailand's poultry exports face tough competition from China

 

 

While Thailand's poultry exporters are expecting to perform well this year, fiercer competition will emerge from China as the Chinese gains more global market access. 

 

Thailand expects to ship 500,000 tonnes of poultry worth THB50 billion (US$1.5 billion) next year.

 

Thai poultry exports had increased 13 percent this year due to rising demand from the EU, but exports to Japan were likely to decrease because stocks from last year were still full, said Chaveewan Khumpa, president of the Poultry Promotion Association of Thailand.

 

But China's poultry products have now met the standards set by Japan and the EU, which could provide a more intense competition, Khumpa said.

 

China and Brazil were also exporting their products at cheaper prices.

 

Thailand sells poultry to the EU at US$2,900 per tonne, while China sells at US$2,600 per tonne.

 

Thailand's poultry industry is also facing the problems of more expensive feed, stronger baht currency and volatile oil prices, Khumpa said.