\nPorto\nAlegre, October 9, 2020 – The\nhousing of breeding chicks continues its growth trend in 2020. The\nindustry envisions an excellent opportunity in this second semester,\nevaluating the strong upward movement of competing proteins, which\ndrives to the increase in the consumption of less expensive meat.\nGenerally speaking, the average consumer usually opts for more\naffordable products in years of crisis. For the meat industry, in\nparticular, this preference falls upon chicken and eggs. Therefore,\nchicken tends to gain even more space in the domestic market as\nprices of competing proteins rise.<\/p>\n\n\n\n
\nThe\nattached graph expresses precisely this correlation, pointing to the\nexchange ratio between chicken and other wholesale cuts in the main\nconsumer center of the country, S\u00e3o Paulo. It can be seen that\nchicken is nearly twice more affordable than pork. Regarding beef\nforequarter, chicken is over 2.45 times more competitive. Regarding\nhindquarter, competitiveness is even greater, with chicken being\napproximately 3.3 times more affordable.<\/p>\n\n\n\n
\nIn\nthe international market, there must be the resumption of a good pace\nof shipments bound for relevant importers of Brazilian chicken,\nincluding countries in the Middle East and Japan. Therefore, chicken\ntends to find a good bullish moment over the last quarter, mainly in\nthe domestic market. The housing numbers point to the understanding\nof this premise in all chicken farming, leading to a good volume of\nsupply, easily meeting internal and external demand. In August, 568.5\nmillion head were housed, an increase of 2% over 2019. From January\nto August, around 4.44 million head were housed, up 3.8% from the\nsame period last year.<\/p>\n\n\n\n
\nIn\nthe last few days, there were noises about the costs of animal\nfeeding, the prices of corn and soymeal are at high levels, resulting\nin the detachment from the prices of other ingredients such as flours\nof animal origin, DDG, and sorghum. The possibility of importing\nincreased to support the domestic market. Reducing extra-Mercosur\nimport tariffs will not bring major changes in the domestic market,\nsince the exchange rate parity keeps import prices prohibitive. The\nonly alternative for the chicken industry is passing on this\nadditional cost along the production chain, keeping the operating\nmargin at interesting levels.<\/p>\n\n\n\n
\nSafras\nLatam<\/p>\n","protected":false},"excerpt":{"rendered":"
Porto Alegre, October 9, 2020 – The housing of breeding chicks continues its growth trend in 2020. The industry envisions an excellent opportunity in this second semester, evaluating the strong upward movement of competing proteins, which drives to the increase in the consumption of less expensive meat. Generally speaking, the average consumer usually opts for […]<\/p>\n","protected":false},"author":16,"featured_media":19100,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[102],"tags":[],"commodity":[],"class_list":["post-20022","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-agribusiness-en"],"acf":[],"yoast_head":"\n