Market Update
- Weather is extremely hot and helping in reducing bird weight and supplies. Although demand is still sluggish, supply is even more sluggish.
- All dark meat is tight; from thigh meat to hindquarters.
- Export orders are good for August, and domestic demand is better for thigh and leg meat.
- Tenders are trading at a premium, and wings are very stable.
- Continued cut backs should keep the pricing trend upwards . This increased value for white and dark meat should help some in the near term.
- Corn costs are also trending up as weather continues problems for this year’s crops.
- All in all, the poultry industry has many issues to overcome in the next six months, and consolidation will be one of them.
