Rimini poultry forum

White meat, production increases again. Purchases of eggs on the rise

Ismea report: domestic consumption of poultry meat grew by 4.6% in 2023, but in the first quarter of 2024 meat spending in general slowed down, evidenced by the shrinking volumes for all types.

by Emiliano Sgambato

4' min read

4' min read

Domestic white meat production rose again in 2023 and household consumption increased, but in the first months of the year it slowed down again and alarm factors for the sector, which is among the few to guarantee self-sufficiency at national level, are struggling to return.

According to Ismea's latest report on the sector presented at thePoultry forum in Rimini (until Friday 10), in 2023 poultry meat production, after an exceptionally negative 2022 due to the problems linked to avian influenza - at a time when concerns about a possible passage of avian influenza to humans are on the rise - returns to previous levels, with an increase of 9.9% over the previous year in which it had lost 12%. Imports fell (-22%) and exports rose again (+29%). As a result, both the trade balance and the self-supply rate improved, rising from 102% to 106%.

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"In 2023, average annual prices for live chickens recorded a 12% loss compared to 2022," notes Ismea, "when, thanks to reduced availability and increased costs of the raw materials needed for production, they had increased by 42% over the previous year. The situation has worsened further in 2024, with a value in February that touches the lowest level of the last three years (1.06 €/Kg), falling below production costs".
In perspective, according to Ismea, "a phase characterised by relatively high production costs is expected". Nevertheless, 'a more prudent production planning will allow prices to recover their lost positions'.

On the consumption front, poultry meat is the one that has shown the best performance in the last 5 years: "the average consumption per capita," Ismea continues, "has exceeded 21.4 Kg in the last year compared to 16.1 Kg for beef and 11.5 Kg for fresh pork. The household penetration index, i.e. those who consume this product out of the universe of Italian families, is 93% compared to 89% for beef and 81% for pork'.

Volumes sold in 2023 compared to those in 2019 increased by 14.3% and "the average price of the product sold (thanks also to the greater presence in the assortment of products with a high service content, i.e. prepared products) increased by 24%, bringing - in five years - expenditure to a growth of 42%, showing a much stronger dynamic than in the meat sector as a whole and a growing orientation towards products with greater added value".

Domestic consumption in 2023 grew by 4.6%, but "in the first quarter of 2024, meat purchases in general have marked the pace, highlighted by the downsizing of volumes for all types, greater for red meat (-6.4% the volumes of pork and -5.3% those of beef) but not escaped by white meat, which recorded a contraction in volumes of 2.9%. "This reduction in volumes purchased combined with a downsizing of average prices," Ismea concludes, "reduced household expenditure on poultry meat by 6.4%.

Even for eggs, 2023 was a good year: consistent with consumption trends that reward protein, they are an increasingly popular food among Italians, who consume an average of 215 per person, or over 13.6 kg per year, +4.5% of direct domestic consumption compared to 2022. The self-sufficiency rate is 97%, up 2 percentage points from 2022.

But what are the prospects for 2024 and what are the challenges for Italian poultry farming? For the world poultry market," underlines the Ismea study, "there is a forecast of growth between 1.5% and 2%, and in this context Italian production should also increase by a further 0.9% in 2024. But "still creating instability are the prices of energy and raw materials, starting with animal feed, influenced by the consequences of the conflicts in Ukraine and the Middle East".

"In the last year," commented Gianluca Bagnara, president of Assoavi, "the economic crisis pushed families towards the purchase of eggs favoured by their low cost in relation to protein intake and versatility of use. This was then combined with a fall in the cost of raw materials for animal feed. These factors have marked a good moment for the sector.The horizon for the second half of 2024 and 2025 is not serene, however. International geopolitical choices are favouring the import of eggs from Ukraine at low cost and without the level of controls we have within the European Union. We need to rekindle our focus on agricultural feedstocks: climate variability, low stocks and financial speculation linked to geopolitical scenarios could create problems for breeding costs in Europe'.

"Italian poultry farming," added Antonio Forlini, President of Unaitalia, "is confirmed as a strategic sector for the country, which sees production, consumption and exports growing also in 2023. There is no stopping the passion for white meat, the most loved by Italians and fundamental for a nutritious and balanced diet. A passion that also involves foreign countries, with exports growing by 29%, thanks to the competitiveness of our sector. In an increasingly evolving context it will be fundamental to combine innovation and development with animal welfare, environmental and economic sustainability, while always focusing on the consumer, who asks us to guarantee a 100% Italian product, excellent but also economically accessible.

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