International Egg and Poultry Review - By the USDA's Agricultural Marketing Service - This is a weekly report looking at international developments concerning the poultry industry, this week looking at Guatemala.

Guatemala

Prior to 2001, Guatemala had a quota of 7,000 metric tons (MT) and a tariff of 15%. Since then U.S. poultry exports have seen an increase of 12% each year, reaching its highest value in 2004 at $41.7 million, as a result of the tariff reduction on poultry imports (2001) and the previous populist government expanding the tariff rate quota (TRQ) to 39,452 MT with a 5% tariff forcing wealthy poultry owners to lower prices.

Guatemala's TRQ has been lowered to 21,800 MT with a 15% tariff and a 164.4% consolidated tariff out of quota under CAFTA , which takes effect January 2006. U.S. exports provided almost 30% of the local consumption, due to the highly competitive, less expensive leg quarter, even though Guatemala has the productive capacity to cover all domestic demand. Both poultry and egg production are managed by local investment with 78% of broiler plants being technically advanced.

Small producers account for 22% of poultry production. Poultry meat production is expected to be 181.44 thousand MT (TMT) in 2006. Presently, 93% and 75% of Guatemala's chicken and turkey meat are imported from the U.S. respectively, competing with Nicaragua and Panama. Yet, U.S. exports in 2006 are forecast to drop 50% from 2005 (43,540 MT to be completed by December 2005.)

Egg production is estimated at 275 eggs/year/hen. All 350 egg producers make up a total of 7.0 million layers and 4.0 millions hens raised for laying purposes. An increase of 3% is projected for 2006, due to population growth and consumption.
Source: USDA FAS

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Source: USDA's Agricultural Marketing Service - 27th September 2005