Thailand’s broiler industry in 2017 continued to enjoy favorable export growth and profitable export prices. Thailand’s chicken meat production and exports are forecast to further grow in 2018. Due to findings of Highly Pathogenic Avian Influenza (HPAI) cases in neighboring countries, Thailand is escalating its disease and surveillance practices for HPAI as the top priority.
Thai chicken meat production is forecast to further increase by 5 percent in 2018 in response to anticipated growth in export and domestic demand. Also, robust prices for live broilers and chicken meat for export as well as the lower cost of production in 2017 are encouraging expansion. Continued growth in the tourism industry and improved disposable income among the grass-roots population in Thailand should cause domestic consumption to grow at a higher pace of 4-5 percent in 2018 as compared to estimated growth of 3 percent in 2017, according to USDA’s GAIN report, Thailand, Poultry and Products Annual.
Thailand’s chicken meat exports are estimated to grow sharply by 12 percent to 770,000 MT in 2017 when Japan purchases more from Thai suppliers after spoiled meat scandal in Brazil, and the strong demand from non-EU market especially South Korea, Hong Kong, Malaysia, and Canada.
About 70 percent of total exports in 2017 are expected to consist of cooked chicken meat products. Exports should continue to grow by 4 percent in 2018. While exports to Japan and non-EU markets are likely to continue to grow for the next few years, exports to the EU market may remain stagnant or even decrease because the EU is unwilling to expand import quotas for exporting countries such as Thailand, and from increased competition from producing countries in Eastern Europe such as Poland. Given that HPAI recently hit Thailand’s neighboring countries including Laos, Cambodia, Vietnam, Myanmar, and Malaysia, both the DLD and the Thai chicken industry are escalating their disease control and surveillance practices for HPAI as the top priority.
