Brazil: Brazil expected to be world’s second-largest chicken meat producer by the end of 2008

17 July 2008

Sao Paulo, Brazil, 17 July – Brazil is expected to end 2008 with greater chicken meat production than China, thus becoming the world’s second-largest producer behind the United States, a sector official said in Sao Paulo.

Francisco Turra, president of the Brazilian Association of Chicken Producers and Exporters (Abef), told Reuters that this was due to Chinese chicken production being practically stagnant, whilst the Brazilian industry, which is more competitive than that of other countries at a time of high corn prices, is able to expand its activities to meet both domestic and external demand.

“China has practically stopped growing, it produces 12 million tonnes (of chicken met) per year. The way things stand we could reach the end of the year in second place by chicken production, overtaking China. I think that Brazil could end the year with production of 12.5 million tonnes,” Turra said.

According to him the Brazilian industry is less affected than that of other countries by the rise in price of raw materials as the country has a corn surplus and will have up to 10 million tonnes for export this year.

As well as having consistent domestic consumption, the Brazilian industry also expects to export some 800,000 extra tonnes of meat in 2008, as compared with 2007, with total exports of almost 4 million tonnes generating revenue of US$6.5 billion, or US$1,5 billion more than last year.

The president of Abef also said that if China was having difficulties increasing production of chicken meat, Brazil was ready to beging selling directly to the Chinese market.

Brazil currently exports to China only via Hong Kong (200,000 tonnes in the first half of the year) and the governments of both countries are preparing a deal for Brazil to export the meat directly. (macauhub)