Australian poultry prices expected to rise

The price of chicken meat in Australia is expected to rise as drought results in an increase in the price of grain – a significant production cost for the country’s chicken farmers.

The Australian Chicken Meat Federation made a statement this week warning the Australian poultry industry that grain prices have increased by 80% in the past year. Grain, for which there is no substitute, is the main constituent of chicken feed, making up 60% of production costs.

“The two predominant grains in chicken feed , wheat and sorghum, account for approximately 65% of the feed, with corn, barley, oats, proteins and vitamins making up the balance. With the unprecedented rise in the cost of grain, chicken producers are experiencing a substantial increase in production costs,” said executive director Dr Andreas Dubs.

The price of chicken meat has progressively decreased over the past 40 years. The drought , however, has caused the prices to rise, due to the effect of the drought pushing global wheat prices up to a 10 year high, as well as international grain prices, imports will also be discouraged.

For related websites or more information:

Australian Bureau of Agricultural and Resource Economics

The Cooperative Research Centre (CRC) for the Australian Poultry Industries

Australian Chicken Meat Federation

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