Tuesday , July 27 2021

Customs changed the tastes of Americans. They eat less company chicken

Americans lose their chickens and consume more beef and pork, because President Donald Trump's trade war has reduced pig exports to China and Mexico, brought cheaper meat and rebier to the domestic market.

Directing pork and American beef to the domestic market suppresses prices and helps change restaurants. The restaurant is prepared for classic beef burgers instead of chicken, while the grocery store offers more pork.

This change in taste also ended a period of unprecedented profits, up to 27 consecutive quarters, for poultry producers such as Tyson Foods and Sanderson Farms. Analyst Bill Roenigk, consultant to the National Chicken Council, predicts that chicken meat producers will experience a decline in profits or losses in the fourth quarter of this year.

Bad reports for chicken suppliers and rising appetite for pork in the US are a side effect of Trump's business dispute, which also led to a decline in exports of soybeans and sorghum to China.

Chicken pork in the US market has affected consumer demand for chicken, said B. Roenigk. The price of pork in the United States has fallen in response to the introduction of 62 percent pig retaliation in China and 20 percent in Mexico. This has limited US exports to these countries.

New marketing

The US Department of Agriculture estimates that chicken consumption per capita will increase by 1.2 percent next year, compared to an increase in demand for pork by 4.3 percent and beef by 2.6 percent.

Restaurants also contribute little to the factory. They focused their latest marketing campaign on the promotion of classic burgers and hamburgers with "three slices of bacon" like the Wendy restaurant chain. This also increases the demand for pork and beef by the national cattle breeders association.

In September this year, 54 new hamburgers were offered a fast food chain. This is about a third more than last year, with the number of chicken products in this offer down 14 percent, a Datassential survey showed.

The slowdown in chicken consumption is a change in the direction of birds. Tyson has started building a poultry factory worth 1.25 million pounds this week because he had trouble joining the chicken line last year. In July, companies selling beef and pork also cut their profit forecast this year, indicating uncertainty in trade policy.

Definitive task

Mexico imposed pork import obligations after Washington introduced tariffs on aluminum and steel imports from neighboring countries. Both parties have maintained this tariff despite the fact that the United States, Mexico and Canada recently reached a new trade agreement.

This will help increase pork exports to Mexico and bring Americans back to chickens, said Biel Lovette, Pilgrim's chief executive Pride, who reported a 3.4 percent drop in sales in the third quarter.

"The movement from chicken to beef and pork is far stronger than anyone imagines," said Heather Jones, director of investment company Vertical Group.

Lower demand this month has pushed the price of chicken breast in the US to the lowest weekly average value in record history. And chicken supplies in cold stores rose to a record high of 435 million kilograms at the end of September. Beef and pork supplies go down, on the contrary.

Source link