Chicken price increased slightly, farm gate price and industrial price higher

In January 2024, the consumer price index of poultry meat was slightly higher (1%) at 122 points than in November 2023. Prices ex-slaughter on the domestic market have fallen 2% since November, from 140 to 137 points. The index of farm prices, which applies to regular, fast-growing broilers, has also fallen by 2% to 138 points (index 2020=100). In January 2024, farm gate prices were 12% lower than in January 2023.

Price development

In January 2024, the consumer price index (CPI) for poultry meat stood at 122 points (2020=100), 1% higher than in November last year. Prices in the supply chain have fallen. The price index of domestic slaughterhouse products (PPI) has fallen 2% to 137 points. The foreign producer price (not in the figure) has fallen 7%, to 132 points.

Many Dutch people ate less meat last year, but chicken remains a popular product. In Dutch supermarkets, almost only free-range chicken is now available, with the Beter Leven quality mark. Some Dutch broiler farms, totaling approximately 40 to 45% of production in 2023, have switched to free-range chickens in recent years, which have more space and grow less quickly. Therefore, far fewer chicks can be kept in the same stables. The supply of Dutch poultry meat has therefore fallen by 30 to 50%.

The farm gate price index has fallen from 141 to 138 points since November last year. In January 2024, the selling prices for broiler farmers were 12% lower than in January 2023. The situation on the animal feed market was reasonably stable at the beginning of this year. The feed price has fallen about 1% since November. Feed costs make up 60 to 70% of the total costs and are therefore very decisive for the business results. The sales prices cover costs for most companies.

The farm gate prices relate to fast-growing broilers that are kept for the food service market and for export (mainly to Germany and the United Kingdom). The meat from the slower growing chicks, mainly Beter Leven 1 star broilers, is sold in Dutch supermarkets; no price index is available for the farm prices of those chicks. The displayed indexes of the consumer price and the ex-farm price cannot therefore be directly compared.

Source: Agrimatie