International Egg and Poultry Review

US - By the USDA's Agricultural Marketing Service - This is a weekly report looking at international developments concerning the poultry industry.
calendar icon 20 June 2007
clock icon 4 minute read

Poultry Prices in Mexico

Meat processors say that the price increase of grains used as feed will have an impact on meat prices for the consumer, but restricting imports would worsen the situation. There is not enough domestic meat production to satisfy demand from the processing industry. The president of the Mexican Meat Council said SAGARPA’s delay for the renewal of the certification for export of Chile’s poultry plants will have a negative impact on poultry product prices in Mexico. The delay in issuing export certifications to Chilean poultry processors is resulting in a shortage of turkeys in Mexico according to news reports. In 2006 Mexico produced 14,000 MT of turkey but consumed 204,000 MT. To cover the demand, Mexico imported about 93 percent of the turkey consumed.

Mexico: Comparison of Select Frozen Poultry Imports in MT

Source: Global Trade Information Services, Inc.

U.S. turkey exports to Mexico were about unchanged on volume but 10% higher in value for the first four months of 2007 compared to the same period in 2006. Fresh/chilled whole turkeys grew to 2,047 MT in 2007 compared to 482 MT in 2006 and the value rose to $2.812 million from $0.482 million. Broiler exports fell 29% in volume but rose 28 % in value. The largest decrease in volume was in fresh/chilled chicken cuts which fell to 15,115 MT in 2007 from 42,266 MT in 2006 while the value rose to $22.216 million from $19.785 million for the first four months of the year.

U.S. Poultry Meat Exports to Mexico

Source: Department of Commerce, U.S. Census Bureau, Foreign Trade Statistics

U.S. Fresh/Chilled Chicken Cuts and Whole Turkey Exports to Mexico

Source: Department of Commerce, U.S. Census Bureau, Foreign Trade Statistics
Source: FAS/USDA and press summaries (not official information)

Poland’s Agro-Food Industry Promotional Funds

The Polish government (GOP) is in the process of preparing legislation to establish six agrofood industry promotional funds. This is the first attempt by the government and local food industry to work together to raise enough private industry funding to qualify for EU promotional funds. Current EU regulations governing food product promotional programs require the following financial contributions: EU: 50%; Local government: 30%; and Participating food industry: 20%.

The draft proposal of the law has been cleared through the Ministry of Agriculture and Rural Development (MINAG) and is now with the Council of Ministers. It is expected that, under the best circumstances, this law will come into effect at the end of 2007. The six promotional funds are for Milk; Pork, Beef and Lamb Meat; Grain Products; Fruits and Vegetables; Poultry Meat; Fish and fish products.

Funds are to be used for the promotion of quality products, participation in trade fairs, market research, disseminating of product information, and training. Funds will also be used for activities conducted by national organizations, such as organizing annual meetings and taking part in appropriate sector meetings.

If passed, this legislation could result in more effective promotion of Polish food products abroad. While other EU countries account for the majority of Polish processed food exports, we expect that the new promotional funding will focus not only on EU markets, but also on markets in Asia, especially China. China is a future priority market, according to Agriculture ministry officials, and the minister of agriculture has traveled there at least twice in the past year in support of Polish agricultural trade.

Source: USDA/FAS GAIN Report

U.S. Exports, Chicken Leg Quarters, Selected Countries Values in 1,000 dollars/quantities in metric tons

Source: Department of Commerce, U.S. Census Bureau, Foreign Trade Statistics

To view the full report, including tables, please click here

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