US chicken sector strong going into 2025
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Though 2025 is still very young, as it stands now chicken production in the US is on solid ground.
Recently, the US Department of Agriculture (USDA) revised its latest chicken production outlook for the year upward due to updated hatchery numbers. The agency also raised its projection of broiler chicken exports because of current strong anticipated shipments to Mexico.
Nonetheless, the USDA made a downward revision to its US egg production outlook due to a lower inventory of laying hens from ongoing incidents of highly-pathogenic avian influenza (HPAI). Also, adjustments were made to exports of egg and egg products “based on tight supplies and high prices”. For 2025, egg prices are anticipated to be higher than in 2024.
Looking at the turkey, production projections for 2025 have also been downgraded in the latest USDA report, based on recent placement data and mortality caused by HPAI. Therefore, as with eggs, turkey prices will also be slightly greater in 2025 than last year.
HPAI indemnity and compensation
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While US poultry producers have been doing their best to prevent outbreaks, more will be expected from those farmers who have had one outbreak already. The USDA’s Animal and Plant Health Inspection Service (APHIS) has introduced an interim final rule specific to indemnity and compensation for these farms, with comments due by 3 March.
APHIS states that it has already conducted considerable outreach to the industry about possible changes to regulations, at the same time, its staff members have also shared information about best practices for biosecurity and other forms of on-farm engagement following HPAI detections.
A focus on biosecurity
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APHIS will require farmers to undergo a biosecurity audit prior to restocking their poultry after HPAI detection, and prior to future indemnity payments. APHIS noted that even with the combined outreach of APHIS, state and federal veterinary officials, and industry, some farmers still have biosecurity issues and in some cases multiple introductions of HPAI on their farms. APHIS added that the recovered data shows the majority of poultry farmers are deploying very strong biosecurity plans and preventing reinfection.
Since the start of the new cycle of HPAI outbreaks that began in 2022, APHIS has made indemnity payments to greater than 1,200 US poultry producers. Of these, 67 unique commercial poultry premises have had at least 2 HPAI infections during the current outbreak, with 18 premises being infected 3 or more times.
Those producers with reinfections have received over US$365 million (€352 million) in indemnity payments, out of the nearly US$1.1 billion (€1.06 billion) that has been paid in total.
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