Analysis of the reasons why broiler prices will continue to fall

The cold makes the market cold and the price of chicken continues to fall. This week, the comprehensive average price of main products of broilers in Zhejiang region was 4.91 yuan / jin, down 5.6 from the previous month. The price curve of broilers continued to decline, and the prices of fast and medium-quality public categories fell by more than 0.3 yuan / jin due to the concentration of columns in the region, while the volume and prices of high-quality and bamboo-shredded chicken basically maintained a stable and moderate decline pattern due to the support of seasonal consumption and medium-and high-grade basic consumption.

The trend of chicken prices this week is mainly caused by the following factors:

First, the prices of fast and medium-quality public categories hover around the cost line, affected by overcast and rainy weather, the sales volume of the main market fluctuates greatly, the mood of social retail investors is strong in advance, and the price often adjusts with the quantity, and the fluctuation of sales volume determines the price fluctuation.

Second, from the consumer side, due to the sudden drop in temperature and no obvious favorable consumption and other factors, sales in the middle of the week continue to be lower than the average daily planned level, and under the influence of cloudy and rainy weather, weekend consumption is also lukewarm, so there is a lack of sales basis to support the broiler market this week, so chicken prices remain at a low consolidation level this week.

Third, on the whole, the stock and output of broilers in the region have been maintained at a relatively high level in the near future, superimposed by the impact of the long-speed improvement of broilers in winter, showing an overall oversupply situation, and the amount of supply determines the consolidation time of this chicken price during the downturn.

The price of broiler chickens will continue to decline in the future, mainly due to the following four reasons:

First, the sudden drop in temperature, social retail investors are worried about the increased risk of breeding diseases, the psychology of speeding up the column is still in the mainstream.

Second, local consumption is in the doldrums, short-term diversion channels and expansion methods are limited, social retail investors can only rely on taking the lead to reduce prices to go ahead of time.

Third, the homology of the market. The prices of breeders 817 broilers and Qingma broilers are basically synchronized with the market prices of large categories of broilers and middle-quality male broilers of integrated breeding companies, and the price decline of medium and low-grade broilers will be accelerated.

Fourth, because the regional supply of bamboo chicken and high-quality chicken is mainly concentrated in integrated breeding companies, and these two kinds of products flow to medium-and high-grade hotels and family consumption, as high-quality chicken and bamboo chicken are still in the peak season of seasonal consumption, prices are expected to remain weak and stable or a steady trend of slight decline.

(source: Xinmu Network)