Post forecasts 2014 broiler production to grow by 3.8 percent and is expected to reach a new record high of 2.1 million metric tons (MMT). This increase will be driven mainly by the continued expansion in the export market, as domestic demand will show a slowdown from the growth rates observed in previous years. The domestic market is close to reaching its saturation point with consumers eating 40 kilos per capita. This is a high volume considering that Argentines are among the largest beef consumers in the world, and that poultry per capita consumption was 22 kg per capita just ten years ago.
For 2013, Post maintains its production estimate at 2,022 MMT. Production costs, especially energy and labor have dramatically increased due to inflation, having a direct impact on producer’s margins.
The local industry is strongly vertically integrated which allows for production efficiency, excellent product quality, product standardization and tight traceability. Argentina is a relatively new presence in the world poultry market and now ranks number eight in production after the United States, China, Brazil, EU, India, Mexico and Russia. Its natural advantages as producer of corn and soybeans and excellent sanitary conditions make it a key player to meet growing global demand.
Approximately 80 percent of the country’s total production is processed in 61 federally inspected plants across the country. The rest is produced by smaller companies approved and controlled by provincial authorities that only sell in the areas where they are located, and are not approved to export. Most companies are Argentine owned.
Argentine broilers for the export market are generally slaughtered at 38-40 days, while broilers for the domestic market are slaughtered at 49-51 days and are usually large (carcass weight 2.2 – 2.4kg) to meet the consumer demand for both whole birds and cuts.
