Brazil Broiler output to hit record 10.8mt

Broiler output in Brazil this year is now forecast to hit a record 10.8 million tonnes (mt) – 5% more than in 2007. The anticipated increase reflects likely record broiler exports combined with a strong domestic demand. However, according to a USDA Grain report the broiler sector will face more competition in the domestic market from increased supplies of beef at favourable prices for Brazilian consumers. Brazil's broiler producers are also concerned about continued increases in the cost of soybean meal and maize.

The appreciation of Brazil's currency is not considered to have a detrimental effect on exports, which are now estimated to reach a record 3.1mt this year compared with 2.9mt in 2007. Indeed, the total volume of all broilermeat exported last year, including further processed and salted products, amounted to almost 3.3mt. While the European Union continues to be the largest customer, the main increases in sales in 2007 were to the United Arab Emirates, Venezuela and Hong Kong.