Abstract
Bird flu and rising feed costs have dented retail poultry volumes, but value is expected to climb a further 6.5% to £2.7 billion in 2008, buoyed by premium growth (including free-range sales).
Rapid growth in the game trade shows no signs of abating, with retail sales expected to rise 8% to £69 million in 2008, on the back of new product development (NPD), healthy credentials, and relaxed licensing regulations.
Key themes of the report:
- Celebrity chefs have accelerated interest in provenance and welfare, boosting free-range sales, but growth in organic has slowed, hindered by high costs and negative media coverage.
- The impact of bird flu outbreaks on commercial poultry flocks was short-lived but costly, with Bernard Matthews subsequently moving to 100% British turkey to reassure consumers.
- Rising feed prices, together with growing energy and labour costs, and buoyed retail prices, but could potentially put many poultry producers out of business, tightening supply further.
- Greater interest in cooking and health is aiding the game sector, although game remains a tricky proposition for many cooks and would benefit from clearer on-pack instructions.
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