The Philippines has a massive poultry production industry. Every year, we produce over 800 million broilers, almost all of which is consumed locally in making delicacies such as tinola, adobo or our favorite barbecues.
This self-sufficiency in poultry production has been achieved over a period of two decades thanks to visionary leadership in the industry as well as rapid automation in the production techniques. While the population of the country is rising rapidly, there is also the rapid rise in local poultry production that is keeping up with the demand. Most of the Filipino businesses in the food sector have a steady flow of poultry products at affordable pricing. The country still imports some poultry products but this is a small part.
Most of the growth has been attributed to massive investments by a few prolific poultry producers that have introduced cutting edge technologies in the poultry production. The sector is now highly modernized and is definitely a leader in Asia. A lot of Filipino poultry producers are now leaders in technological excellence, marketing, food safety and innovation when it comes to poultry production, especially broiler farming.
While it is possible to maintain this high level of production throughout the year, there are times of peak demand when the prices can shoot up a little bit. This is always the case towards Christmas when many Filipinos buy lots of chickens for the festivities. Another factor that might impact poultry production in particular years are typhoons and where there are issues with the feed quality which will impact the liveability of the chickens as well as the overall production levels. But these do happen during exceptional year. It is noteworthy that the Philippines still imports some poultry products but this is a small part of the overall local poultry consumption.
Only the Most Efficient Filipino Producers Will Survive
However, there is still plenty of room for local Filipino farmers planning to venture into poultry farming and only the most efficient producers are going to be profitable over the long term. Without high level of efficiency and quality standards at the local level, Filipino producers could be decimated by imports from the rest of Asia especially as poultry tariff protections have been scrapped over the past few years.
Filipino Poultry Farming Sector Challenges
However, it is not all a bed of roses in the Filipino poultry farming sector. The industry is still bedeviled by a host of challenges that squeeze the margins of poultry farmers in the country. These include factors such as the global pricing for grains used in the poultry feeds such as the soybean, wheat, corn etc.
Poultry feed production industry is now competing with the biofuel industry and this is pushing up the prices of grains used as raw materials in poultry feed formulation. The industry also needs to be competitive against other protein substitutes such as meat and fish. Buyers will only choose poultry products if they are of high quality and also competitively priced and that begins with the level of efficiency that has been incorporated into the poultry farming and management practices.