Brazilian poultry exports set for record high in 2022

According to the Brazilian Animal Protein Association (ABPA) , Brazilian broiler exports could reach a new record of 4.85 million tons in 2022. That would be 5% more than when the country exported 4.6 million tonnes in 2021.

The agency published the figures in December, forecasting production of 14.6 million tonnes in 2022, up 1.5% from the previous year.

According to a report by Rabobank, exports of chicken meat have continued to grow even as exports to China, the largest destination for Brazilian exports, accounting for about 12 percent of the total, have fallen by 18 percent.

Taking October 2022 as an example, the protein export volume increased by 5%, and the export value increased by 29%. Higher feed costs are being absorbed by foreign markets, which also increases the competitiveness of Brazilian broilers on the international stage.

The United Arab Emirates was the second-largest destination after China, with shipments up 22%. Japan fell 3% over the same period.

The European Union and the United Kingdom stand out and are expected to overtake Saudi Arabia as the fourth-largest destination for Brazilian chicken, with purchases from Brazil increasing by 16%. The Philippines, Singapore and South Korea also increased their imports and should continue to present opportunities, with increases of 45%, 53% and 63% respectively.

In the same period, Mexico increased its imports from Brazil by 29% after reducing its import tariffs to zero, and remains a good bet for Brazil. Rabobank expects exports to grow by 4% to 5% year-on-year in 2022. Compared with ABPA's forecast, it is almost at the same level.

Optimistic about 2023 The outlook for 2023 is expected to be even more positive, with overseas sales reaching 5.2 million tons, an increase of 8.5%. Brazilian poultry production is also likely to rise 2 percent to 14.75 million tonnes.

In terms of per capita consumption, the index remains basically stable at 45.5 kg/year in 2021, 45.1 kg/year in 2022, and 45.5 kg/year in 2023.

Brazil is the world's leading protein exporter and second-largest producer, after the United States. Brazil will reach 20.875 million tonnes by the end of 2022, up 2.2% from 2021, according to ABPA.

The main risk to these forecasts is bird flu, which has spread to many countries in South America, namely Colombia, Peru, Ecuador, Venezuela and Chile.