Brazil and the US are the largest exporters of broiler meat accounting for about three-quarters of global exports during 2006-2011.
The US and Brazil largely supply different products to different markets.
Between 2006 and 2011, Brazil was the world’s third largest producer of broiler meat (measured in metric tons), accounting for 15 per cent of global production.
The US and China respectively accounted for 22 per cent and 16 per cent of global production during this period.
Brazilian production grew 38 per cent over between 2006 and 2011 in response to strong demand attributable to rising domestic per capita income, the competitive price of broiler meat compared to beef, higher demand from food service industry for frozen/precooked chicken products, and greater demand for Brazilian poultry by China and Hong Kong.
A comparison of the cost of production data for live broilers in 2011 shows little difference between Brazil and the US, mostly because of comparable costs for feed, the most important cost component in live bird production.
The biggest difference was the higher costs of chicks in Brazil.
Despite rising feed costs, Brazil and the US are the most efficient and lowest-cost broiler producers in the world, giving both countries a competitive advantage against producers in third-country markets.
Source: Argentine Beef Packers S.A.
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