Latest figures confirm US broiler processors’ production cuts

18-07-2006 | |

US broiler chicken slaughter over the past seven weeks has declined by an average of 3.3% compared to the same time last year, confirming the planned production cuts announced by major processors several months ago.

Chicken processors (including Tyson Foods, Pilgrim’s Pride and Gold Kist) announced this spring that they would reduce production during the summer months because of low prices and high storage stock levels last winter and early spring.


The latest monthly cold storage report, for data at the end of May, showed 774.827 million pounds of chicken in the nation’s warehouses.


Since the end of May, the USDA‘s chicken slaughter data show that weekly totals have varied from 0.5% to nearly 6% below the levels recorded a year ago.


Wholesale chicken prices have rebounded recently, with the USDA quoting boneless/skinless chicken breasts at $1.35 to $1.40 per pound, compared to $1.00 to $1.05 on May 1. Leg-quarter prices on Monday were 38 to 39 cents, nearly double what they were on May 1 when they were quoted at 20 to 21 cents.

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