CHILE - Production of broiler meat in Chile in 2015 increased by 5.6 per cent compared with 2014, according to the latest report from the US Department of Agriculture's Foreign Agricultural Service (USDA-FAS).
The production total in 2015 was 599,000 MT. Production was highest in October through to November last year, reaching a monthly total near 54,000 MT.
According to the report, production has been growing constantly because of low broiler prices compared to beef and the lower prices of grains and feed products used in the industry. Demand for poultry products has been consistently growing.
From a trade point of view, depreciation of the Chilean Peso related to the US dollar was favourable for Chilean exports. In 2016 the US Dollar is expected to remain strong, thus benefiting Chilean exports.
The main destinations for Chilean exports in 2015 were Mexico, the US and China. The Chinese market is also expected to keep demanding broiler meat from Chile, despite deceleration of their economy.
Broiler meat exports in 2015 increased 22 per cent in volume over 2014. Chilean Exports to China increased 88 per cent in value and 55 per cent in volume. In 2016 exports to China should continue to increase.
Exports to the US also showed a strong increase, attributed mainly to market attractiveness by high exchange rate (US dollar related to Chilean peso). Exports to Mexico had a more moderate increase in 2015.
Chile imports broilers as well, and the report said the main sources for these imports are the US and Brazil, and volumes from both countries increased in 2015. Brazil is expected to remain the top supplier, since Brazilian Real is depreciated, and the report said to expect a similar increase in imports throughout 2016.
You can view the full report by clicking here.
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