Why chicken prices are starting to drop in United States

Published 2022년 11월 25일

Tridge summary

Chicken prices in the US have started to decline after a 14.5% increase, as supply issues, including a poor breeding rooster selection by Tyson and other poultry companies, have been resolved. The high demand for food services in 2021, following a drop in 2020, also contributed to the supply-demand imbalance. Despite the decline, chicken prices remain higher than beef or pork. Supermarket prices are following the downward trend in wholesale prices, aided by long contracts that smooth out price fluctuations for consumers. After the holidays, retailers are expected to offer more chicken promotions, particularly for seasonal items.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Last year, with some meat prices falling, chicken prices remained high. Strong demand, supply issues and even breeding issues with underperforming roosters kept the pressure on. The shortage of supply has caused some restaurants, like Wingstop, to experiment with less popular items like drumsticks. But now conditions are finally improving, paving the way for price declines ahead. In the year through October, without adjusting for seasonal swings, chicken prices rose 14.5%, according to data from the Bureau of Labor Statistics. But in October, prices fell by 1.3% from the previous month. And promotions and offers are just around the corner. The US poultry industry has managed to solve one of the problems that reduced supply last year - a poor rooster choice that led to fewer chicks than expected. In May 2021, poultry giant Tyson explained that it was short of chickens because of disappointing results with the type of breeding rooster it had chosen. "We're trading a male that, ...

Source: Avicultura Industrial