Brazil's poultry output is expected to decline for the first time in 20 years as chicken farmers curb production in response to rising feed costs, oilseed industry researcher Oil World said.
Poultry meat output may fall 4.1% to 12.3 mill. t this year from 12.9 mill. t in 2011, Hamburg- based Oil World wrote in a report. Brazil's exports of poultry, which is the biggest in the world, may slip to 3.91 mill. t from 3.95 mill. t.
Brazil's poultry production almost doubled in the past decade and now ranks behind the U.S. and China, while the country's exports more than tripled. Brazil produced 37.8 mill. t of poultry feed last year, of which 25% was soy meal and 61% corn.
Brazil's poultry consumption is predicted to slip to 8.42 mill. t from 8.92 mill. t last year, with per-capita consumption falling to 43.41 kg from 46.34 kg. This is the first year-on-year reduction in 20 years.
Most of Brazil's poultry meat is produced in the southern states, where the corn harvest at the start of the year was reduced by drought.
Source: Oil World