The impact of feedstuff prices on the production of turkey meat

Csordás S., Tibor – Szentirmay, András – Troján, Szabolcs

Keywords: changes in feedstuff prices, vertical integration, poultry sector, turkey meat production

The very strong relationship between feedstuff prices and the profits from turkey meat production, demonstrated in the paper, should make one think, because changes in the price of feedstuffs – the primary input for the industry – may cause reorganisation of groups of companies.
Although the gradual, slow increase of feedstuff prices can be set off by various cost management practices up to a certain limit, the industry players do not have any way to fend off the extremely drastic increases in feedstuff prices which were seen on two occasions in the period covered by the study. Should feedstuff prices increase at similar rates in the future, they may cause bankruptcies and a structural reorganisation in the industry.

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