Standard Bank_ Agribusiness Biweekly Insights: Livestock Report (15 September 2023)



The major local poultry producers have warned that broiler and egg prices could remain elevated due to high feed costs, loadshedding, and the spread of bird flu. These producers highlighted that they need to pass on the higher feed and energy backup costs to end consumers to remain afloat. A renewed spread of bird flu could lead to broiler and egg shortages on the market. According to the South African Poultry Association (SAPA), the number of bird flu cases reported this year is the highest since 2017, when the first outbreak was reported on a commercial farm. SAPA estimates that about 15% to 20% of national production has been lost.  Some major retailers have already flagged egg shortages linked to the outbreak. However, SAPA anticipates the shortages to only last until next month, as affected producers would have been able to restock and the frequency of outbreaks declines with the warmer weather. Poultry farmers are urged to remain alert and implement strict biosecurity protocols to avert the potential negative socio-economic impacts of bird flu.


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