March 26, 2020
High feed prices and misinformation about chicken meat due to Covid-19 will impact the industry this year according to Rabobank’s Poultry Quarterly Report. Last year’s delay in feed ingredient farming (due to monsoons) led to high feed prices in Q3 till now. Rumors that Covid-19 was caused by chickens brought prices crashing from USD 1/kg to 0.40/kg in February. Even after the government helped to mitigate fears, prices dropped to USD 0.13/kg. Key poultry integrators are expected to show lower profitability while smaller farmers will face significant impacts for FY20.