Brazil chicken meat output down in 2023; pork production rises – industry group

Chicken meat processors from Brazil, including heavyweights JBS SA and BRF SA, will collectively increase output and exports in the new year, projections from meat industry group ABPA.

Brazilian companies will process up to 14.750 million tonnes of chicken meat in 2023 while they are also poised to raise exports by up to 8.5% to an estimated 5.2 million tonnes, the data showed.

The forecasted volume, however, is below the projection released in July (14.65-15.00 million tonnes). The export estimate for 2023 has not changed.

Ricardo Santin, ABPA president, said Brazil can increase its global share of chicken exports even as local companies grapple with higher corn prices, which accounts for 70% of production costs, and increases in packaging and fuel costs.

The decrease in the cereal’s global supply after the beginning of the war in Ukraine, together with the possibility of a production dip in the summer corn crop in Rio Grande do Sul, are factors that concern the sector, he added.

Santin believes that input prices will remain high next year.

The export of chicken meat from Brazil, the largest global supplier, was estimated in a range of 5 million to 5.2 million tonnes, still in line with the July forecast.

See below the track record of the volume of chicken meat exports (HS 0207) by Brazil from Jan 2019 to Oct 2022, according to the DataLiner market intelligence service.

Poultry Exports | Jan 2019 – Oct 2022 | WTMT

Source: DataLiner (click here to request a demo)

With this, Brazil has the possibility of increasing its participation in the world market, despite higher production costs.

Santin said 100 kilograms (220 pounds) of Brazilian broiler chicken is priced at around 146 euros ($156) compared with 263 euros for the European Union product and around 268 euros for U.S. chicken.

Another Brazilian competitive advantage is the country never had outbreaks of bird flu and remains free of the highly pathogenic disease, which has affected global chicken suppliers like the United States this year.

Pork production

Brazil’s pork production in 2023 is projected to be between 5.1 million and 5.15 million tonnes, up from the mid-year forecast range (5.05-5.10 million tonnes).

ABPA also stated that pork exports from Brazil in 2023 should reach between 1.2 million and 1.25 million tonnes versus 1.15-1.2 million in the previous forecast.

Please see below the track record of the volume exported of pork (hs 0203) from Brazil to its markets abroad. The data is from DataLiner.

Brazilian pork exports | Jan 2019 – Oct 2022 | WTMT

Source: DataLiner (click here to request a demo)

The data confirm previous expectations of an increase in meat production and exports next year.

Pork production could rise to 4% in 2023, while exports grow by up to 12%.

Source: Money Times

To read the full original article, please access: https://www.moneytimes.com.br/abpa-reduz-previsao-de-producao-de-carne-de-frango-do-brasil-em-2023-eleva-de-suina/

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