Rabobank expects favorable prospects for European poultry meat

Published 2024년 6월 27일

Tridge summary

Ukraine faces a 20% reduction in chicken exports to the EU in 2024, leading to less competition and market stabilization. The first half of 2024 is expected to be favorable due to high prices, falling feed prices, and strong European demand. The Netherlands is experiencing a decrease in chicken supply due to sustainable practices, driving up prices and feed profit margins. Total European chicken production increased by 5% in the first quarter, largely due to growth in Central and Eastern Europe, particularly Poland and Hungary. However, the risk of bird flu is expected to rise in autumn. Rabobank analysts predict continued growth in chicken production and demand for Dutch chicken to remain stable in the second half of 2024, with the Netherlands shifting its focus to Northwestern Europe while Eastern European countries will tap more into exports outside the EU.

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

Original content

For example, according to the recently introduced quota, Ukraine is allowed to export 20 percent less chicken to the EU than in 2023, which reduces competition in the regular segment. Conditions are already more favorable in the first half of 2024 than in the same period last year. The second quarter in particular went well, with higher prices and slightly falling feed prices. The market picture is therefore favourable. This is mainly due to the strong demand for chicken in Europe, partly due to the attractive meat price in combination with the increased disposable income of consumers. In the Netherlands, the supply of Dutch and German chicken is also becoming tighter due to the switch to more sustainable concepts. For example, Dutch chicken production fell by 4.5 percent in the first quarter of this year compared to last year. This shortage gives the price an extra boost and therefore also the feed profit margins. These are now high and well above the long-term average. Total ...

Source: Nieuwe Oogst