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Avian influenza outbreaks and consequences
Bird flu reported in Germany, the Netherlands
The H5N8 avian influenza virus was detected in a poultry farm in the northern state of Schleswig-Holstein, the country’s agriculture ministry said. The virus is spreading among the wild birds of the region. Earlier this year, Germany also detected H5N8 avian influenza at a poultry farm in the northern state of Lower Saxony.
Meanwhile, the Amsterdam Ministry of Agriculture has culled 200,000 chickens after highly pathogenic avian flu was detected on a farm in the eastern city of Puifijk. Amsterdam reported another case at a poultry farm last week. Britain also culled poultry after bird flu cases.
The Netherlands is Europe’s largest exporter of chicken meat and eggs, with $ 1.5 billion in fresh chicken exports in 2019. The United States shipped $ 566 million in fresh poultry in 2019, with Germany shipping $ 436.2 million, according to “The World Factbook. “
South Korea bans poultry imports from England
Bird flu was detected on Monday at a commercial broiler farm in Cheshire, England, marking the country’s second outbreak this week. The Cheshire outbreak involved the highly pathogenic H5N8 strain of avian influenza, while the other outbreak in Kent involved a different strain of the virus.
South Korea responded by banning imports of poultry products from the region. In recent weeks, the UK has increased the threat level of avian flu from low to medium after the virus was detected in two swans in the Netherlands.
Latest updates from the US poultry market
US broiler market overview
This week the USDA reported that broiler / fryer prices in the United States are generally steady and consistent across all sizes. Offerings of all sizes are mostly moderate for current business needs. Demand for retail and restaurant services is light to moderate for month-end deals. Processing programs are normal or reduced. Floor supplies are sufficient. Market activity is slow to moderate.
In the structure of the parties, prices tend to stabilize for the wings and the rest of the parties are mostly stable. Bone-in wing and breast offerings are light to moderate with jumbo sized wings in the best balance. The dark meat elements, offerings and balance of parts are moderate. Market activity for the parties is slow to moderate. In production areas, live stock is moderate to heavy. Weights are mixed, but reported as mostly desirable.
Highlights of retail chicken in the US
The USDA reports that US chicken retail summary data this week shows a decrease in the feature rate and activity index, but purchase incentives have made slight gains. All whole bird items are readily available, and bagged roasters offer reduced prices for buyers.
Overall, white part features aren’t as prevalent this week, but offerings are pushing to make their presence known. Prices for wings and regular package deals are on the rise. The dark meat section draws attention because of the objects filling the ad space; prices are not uniform. There isn’t too much action in the freezer aisle this week. Deli continues to take up most of the ad space as the 8-piece rotisserie and chicken options have the biggest impact. Most of the specialty and organic items are still available despite the reduced rates.
Global food market update
Highest global food prices since January
Global food prices rose for the fifth consecutive month in October, according to the Food and Agriculture Organization’s Food Price Index. The index climbed from 97.8 points in September (revised) to 100.9 points last month, the highest level since January, before the pandemic hit.
“The much higher prices of sugar, dairy, grains and vegetable oils were behind the latest increase in the FFPI, while the meat sub-index fell slightly for the second consecutive month,” FAO explained. The organization also lowered its global grain harvest forecast by 2.3 MMT to 762.7 MMT, just short of the 2016 record. FAO says the cut was driven by lower production expectations for Ukraine and Argentina. , where the dry climate reduced the prospects for returns.
Read Jim Wyckoff’s analysis of the US dairy industry The cattle site and see his updates on the global pork market on The pig site.
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