Poultry price increases inevitable in wake of global grain shortage

The current world grain shortage caused by the prolonged drought in the U.S., coupled with excessive rains in Northern Europe, is having a significant impact on poultry meat production worldwide, according to the International Poultry Council. High prices of feed grains in particular are pushing up the cost of producing commercial poultry, and poultry price increases are inevitable, says the council.

The current world grain shortage caused by the prolonged drought in the U.S., coupled with excessive rains in Northern Europe, is having a significant impact on poultry meat production worldwide, according to the International Poultry Council. High prices of feed grains in particular are pushing up the cost of producing commercial poultry, and poultry price increases are inevitable, says the council.

Companies will be forced to pass those increases on to consumers, and couple them with cuts in production. To mitigate some of this, governments should take whatever measures are available to prevent any further increases in grain prices. "Poultry meat has historically been the world’s cheapest large-scale source of animal protein, and has played a central role in providing consumers in poorer nations with access to protein," said the council. "Continued high grain prices threaten food security, especially in low-income countries."

The council also said that governmental policies that subsidize or encourage the production of renewable fuels from grains and cereals should be revised in order to avoid the risk of food shortages.

Cargill
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