RED DEER – Chicken consumption continues to soar every year but profits
have taken a nosedive.
Rising input costs connected to higher feed grain costs, overproduction
of 6.5 million kilograms and the Sept. 11 terrorist attacks all
affected the poultry business.
Sales declined when fearful consumers decided to avoid restaurants,
hotels and fast food outlets in the weeks following the attacks. Nearly
40 percent of chicken is eaten outside the home.
“Just like everyone, we took a hit,” said David Fuller, chair of the
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Chicken Farmers of Canada. He spoke to the Alberta Chicken Producers
annual meeting in Red Deer Feb. 27.
Canadian consumption still reached 30 kg per person.
“We have had an outstanding level (of) growth in the chicken industry
but we can foresee a leveling off,” said Fuller. “We have to spend more
time and effort on bringing consumer focus on the chicken.”
The national organization is embarking on a three-year marketing plan
to keep consumers choosing chicken over other meat.
During 2000, each Canadian ate an average of 97.2 kg of meat per year.
Total meat consumption has remained flat over the last two decades, but
the share of the meat pie has changed.
In 1981, chicken consumption was 16.7 kg compared to 39.7 kg of beef
and 31.4 kg of pork. The rest was taken up by other meat such as
turkey, veal and lamb. In 2000, chicken was nearly 30 kg, beef was 31.4
kg and pork was 26.6 kg.
Another obstacle for the industry was oversupply, partly exacerbated by
Canada having to allow in imported product. The tariff rate quota
commitment is equal to 7.5 percent of the previous year’s production.
The most recent figures from 2000 show Canada is the eighth largest
importer of chicken in the world, bringing in 91 million kg from the
United States. It exported 66 million kg.
