Poultry to overtake pork as globally preferred meat

 - Published:  19 October, 2011

The poultry industry has a bright future, but strategic changes must be made, according to a new Rabobank report. Written by an international team of poultry specialists, Crossroads for Growth has predicted a 30% rise in global demand for poultry by 2020.

Lead author Nan-Dirk Mulder said poultry would become “the winning protein” thanks to competitive production costs and a healthy image. Moreover, Mulder believes other meats, especially pork and beef, suffer from certain religious restrictions, which plays in poultry’s favour.

However, the report warns that changes are needed in the EU, as emerging exporting countries, such as Brazil and Argentina, benefit from cheap production costs. Mulder observed that successful European companies have tended to refocus their strategies to fresh poultry, which now represents over 60% of the EU market. He recommends other companies follow this trend, as that segment of the market is generally out of reach for low-cost countries, compared to wholesale and frozen food.

Crossroads for Growth also predicted a further increase in demand for higher-welfare products, which will lead to retailers and restaurants raising their sustainability standards further. As a consequence, Mulder believes EU producers will need to fight to keep their licence to operate.

The report foresees the internationalisation of the poultry industry, but concedes that the situation in Europe might be different from other world areas. “Companies in the EU will do well to first utilise the great opportunities in the internal EU market by better integrating the local industry and moving first to a regional and later to a pan-European business model,” Mulder said.





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