Brazil expands chicken meat output amid rising global demand

BRAZIL – Brazil’s chicken meat production is projected to rise by 2% in 2025, reaching 15.35 million metric tons, according to the latest report by the US Department of Agriculture’s Foreign Agricultural Service (USDA FAS).

This increase keeps Brazil in second place globally after the United States in terms of volume, while maintaining its status as the world’s leading chicken meat exporter.

Higher international demand, stable domestic consumption, a weak Brazilian real, and favourable production conditions are contributing to the expected growth.

Producers are also benefiting from low feed prices, driven by strong corn and soybean harvests, which are helping offset inflation and economic uncertainty.

Southern states remain key to national supply

The southern region continues to anchor Brazil’s poultry industry, with Paraná alone responsible for over one-third of national output.

Santa Catarina and Rio Grande do Sul follow closely, and together, these three states produce more than 57% of the country’s total chicken meat supply.

Their dominance is linked to well-established infrastructure and integrated production systems, but environmental concerns may impact performance in the coming months.

Forecasts from Brazil’s weather agency indicate that higher-than-usual temperatures and reduced rainfall are expected in several poultry-producing areas, potentially affecting bird health and productivity.

Prices rise amid limited supply in 2024

Producers reduced output in 2024 to manage costs and protect profit margins, which helped drive up prices for chilled and frozen chicken meat.

Between January and mid-February 2025, prices climbed by 12% to 13% compared to the same period in the previous year.

In 2024, chilled chicken averaged US$1.48 (R$7.50) per kilo, while frozen chicken sold for around US$1.45 (R$7.36).

Even as electricity and maintenance costs rose, stable feed prices kept overall production expenses manageable.

Disease control remains a top priority

Brazil has not recorded any outbreaks of Highly Pathogenic Avian Influenza (HPAI) in commercial flocks since the virus was found in wild birds in 2023.

In 2024, an isolated case of Newcastle disease at a plant in Rio Grande do Sul led to a temporary export halt, but containment was swift.

As a precaution, the government is advocating for regionalisation clauses in trade agreements to allow exports from unaffected areas during future outbreaks.

Domestically, chicken remains the primary animal protein source, making up around two-thirds of total meat consumption.

Despite inflation and reduced purchasing power, consumption is expected to increase slightly to 10.1 million metric tons in 2025.

Export markets continue to drive sector growth

Brazil aims to ship 5.2 million metric tons of chicken meat in 2025, a 5% rise from the previous year, excluding chicken paws.

The country opened 25 new markets in 2025 alone, including four specific to poultry, building on the 23 poultry-related markets added in 2024.

While exports to China declined last year due to disease-related restrictions, the Asian country remains a key buyer, along with Japan, Saudi Arabia, the UAE, and South Africa.